Ms. Woolsey (for
herself, Mr. Stark,
Mrs. Maloney,
Ms. DeLauro,
Mr. George Miller of California,
Ms. Schakowsky,
Mr. Davis of Illinois,
Ms. Lee of California,
Mr. Conyers,
Ms. Waters,
Mr. Olver,
Ms. Hirono,
Mr. Hastings of Florida,
Mr. Brady of Pennsylvania,
Mr. Filner,
Ms. Moore,
Mr. Payne,
Mr. Jackson of Illinois,
Mr. Rush, Mr. McDermott, Ms.
Chu, Mr. Ellison,
Mr. Hinchey,
Mr. Grijalva,
Ms. Brown of Florida,
Mr. Honda,
Ms. Norton,
Ms. Fudge, and
Mr. Serrano) introduced the following
bill; which was referred to the Committee
on Education and the Workforce, and in addition to the
Committees on Oversight and Government
Reform, House
Administration, and Ways
and Means, for a period to be subsequently determined by the
Speaker, in each case for consideration of such provisions as fall within the
jurisdiction of the committee concerned

A BILL

To improve the lives of working families by providing
family and medical need assistance, child care assistance, in-school and after
school assistance, family care assistance, and encouraging the establishment of
family-friendly workplaces.

1.

Short title; table of
contents

(a)

Short
title

This Act may be cited as the Balancing Act of 2011.

(b)

Table of
contents

The table of contents of this Act is as follows:

Sec. 1. Short title; table of contents.

Sec. 2. Findings.

Title I—Paid Leave For New Parents and Family and Medical Leave
Enhancement Act

Subtitle A—Paid Leave for New Parents

Sec. 101. Short title.

Sec. 102. General definitions.

Part 1—Family and medical leave insurance program

Sec. 111. Program definitions.

Sec. 112. Establishment of program.

Sec. 113. Program benefits.

Sec. 114. Voluntary employer plan.

Sec. 115. Additional benefits.

Sec. 116. Prohibited acts by employer.

Sec. 117. Enforcement.

Sec. 118. Penalties.

Sec. 119. Education programs.

Sec. 120. Regulations.

Sec. 121. Effective date.

Part 2—Civil service family and medical leave insurance
program

Sec. 131. Program definitions.

Sec. 132. Establishment of program.

Part 3—Family and medical leave insurance fund

Sec. 141. Establishment.

Sec. 142. Board of Trustees.

Sec. 143. Investment of the Family and Medical Leave Insurance
Fund.

Sec. 144. Payments from Family and Medical Leave Insurance
Fund.

Sec. 145. Administrative expenses.

Sec. 146. Amendments to the Internal Revenue Code of
1986.

Subtitle B—Family and Medical Leave Enhancement
Act

Sec. 151. Short title.

Sec. 152. Eligible employee.

Sec. 153. Entitlement to additional leave under the FMLA for
parental involvement and family wellness.

Sec. 154. Entitlement of Federal employees to leave for
parental involvement and family wellness.

Sec. 401. Treatment of employees working at less than full-time
under participation, vesting, and accrual rules governing pension
plans.

Sec. 402. Treatment of employees working at less than full-time
under group health plans.

Sec. 403. Expansion of definition of employee to include
certain individuals whose services are leased or contracted for.

Sec. 404. Effective dates.

Subtitle B—United States Business Telework Act

Sec. 411. Short title.

Sec. 412. Telework pilot program.

Sec. 413. Report to Congress.

Sec. 414. Definition.

Sec. 415. Termination.

Sec. 416. Authorization of appropriations.

2.

Findings

Congress finds the following:

(1)

Currently 58
percent of married families with children in the United States, both parents
work full-time. Seventy-one percent of mothers with children under age 18 work
full-time.

(2)

The National Study
of the Changing Workforce found that 75 percent of employed parents indicated
that they don’t have enough time with their children.

(3)(A)

A survey conducted by
the Boys and Girls Clubs of America found that more than half of the
respondents indicated that they had little or no time to spend in physical
activities with their children.

(B)

Parents in 3,500,000 households,
representing 7,000,000 children, spend an hour or less a week doing physical
activities with their children.

(C)

The primary obstacle cited by the
parents to engaging in physical activities with their children was their work
schedules.

(4)

According to the
National Partnership for Women and Families, 78 percent of workers who need
leave do not take it because they cannot afford it.

(5)

Nearly every
industrialized nation other than the United States, and most developing
nations, provides parents with paid leave for infant care.

(6)

In the United
States, more than half of all mothers of children under the age of one work.
Yet parents of infants and toddlers face acute problems finding child care, and
child care that is available is often of mediocre quality.

(7)

Since 2000, the
cost of child care has increased twice as fast as the median income of families
with children. According to the National Association of Child Care Resource
& Referral Agencies, the average annual cost of child care ranges from
$4,560 in Mississippi to $18,773 in Massachusetts. In addition, the annual cost
of child care for a 4-year old is more than the annual in State tuition at a
public four-year college in 36 States and the District of Columbia.

(8)

The average annual
child care teacher salary is $20,940, a wage so low that many programs find it
extremely challenging to recruit fully qualified teachers and to retain them.
High turnover rates make it more difficult to provide quality and continuity of
care.

(9)

Only 17 percent of
eligible families received child care assistance through the Child Care
Development Block Grant, the Social Services Block Grant, and the Temporary
Assistance for Needy Families program in 2006. In addition, approximately 40
percent of eligible preschoolers are able to participate in the Head Start
program.

(10)

Among needy
students, school nutrition programs often provide the primary opportunity for
consumption of nutritionally valuable foods.

(11)

Breakfast is a
critical meal for children and provides the nutrition necessary to optimize
their learning capacities.

(12)

According to a
recent nationwide report by the Afterschool Alliance, approximately 15,000,000
children in the United States are left alone after school each week without
adult supervision.

(13)

Violent juvenile
crime peaks between the hours of 3:00 p.m. and 7:00 p.m. and teens are more
likely to be victims of serious violent crime in the hour after school lets out
than any other time of the day.

(14)

The Nation’s
communities can benefit from teleworking, which give workers more time to spend
at home with their families.

Paid
Leave For New Parents and Family and Medical Leave Enhancement Act

A

Paid Leave for New
Parents

101.

Short
title

This subtitle may be
cited as the Family Leave Insurance
Act.

102.

General
definitions

(a)

In
general

The definitions provided by section 101 of the Family and
Medical Leave Act of 1993 (29 U.S.C. 2611), other than the definitions of the
terms son or daughter, shall apply for purposes of this
subtitle.

(b)

Additional
definitions

In this subtitle, the following additional
definitions shall apply:

(1)

Board of
trustees

The term Board of Trustees means the Board
of Trustees of the Insurance Fund.

(2)

Covered
agency

The term covered
agency, when used with respect to a State, means the State agency
referred to in paragraph (1) of section 112(b), or the Commissioner of Social
Security if the Commissioner is carrying out the State Family and Medical
Insurance Program in the State under paragraph (2) of such section.

(3)

Domestic
Partner

The term
domestic partner means—

(A)

the person
recognized as the domestic partner of the employee under any domestic partner
registry or civil union laws of the State or political subdivision of a State
where the employee resides;

(B)

a same-sex spouse
as determined under the applicable law of the State or political subdivision of
a State where the employee resides; or

(C)

in the case of an
unmarried employee who lives in a State where a person cannot marry a person of
the same sex under the laws of the State, a single, unmarried adult person of
the same sex as the employee who is in a committed, intimate relationship with
the employee, is not a domestic partner to any other person, and who is
designated to the employer by such employee as that employee's domestic
partner.

(4)

Insurance
fund

The term Insurance Fund means the Family and
Medical Leave Insurance Fund established under section 141.

(5)

Managing
trustee

The term Managing Trustee means the Managing
Trustee of the Board of Trustees of the Insurance Fund.

(6)

Son or
daughter

The term son or daughter means a
biological, adopted, or foster child, a stepchild, a legal ward, a child of a
person’s domestic partner, or a child of a person standing in loco parentis,
who is—

(A)

under 18 years of
age; or

(B)

18 years of age or
older and incapable of self-care because of a mental or physical
disability.

1

Family
and medical leave insurance program

111.

Program
definitions

In this
part:

(1)

Eligible
employee

The term eligible employee means any of the
following:

(A)

An employee
who—

(i)

earned wages with
a covered employer for a minimum of 6 months prior to filing an application for
leave benefits under this part; and

(ii)

has been employed by the employer with
respect to whom paid leave is requested for at least 625 hours of service
during the previous 6 months.

(B)

An
employee—

(i)

of a
small employer that has elected to participate in the Program under this part
in accordance with such regulations as the Secretary shall prescribe;
and

(ii)

who meets the
requirements of subparagraph (A), but is not an employee of the Federal
Government.

(C)

A self-employed
individual who has—

(i)

elected to
participate in the Program under this part in accordance with such regulations
as the Secretary shall prescribe;

(ii)

self-employment
income while a covered employer for 6 of the last 12 months prior to filing an
application for leave benefits under this part; and

(iii)

paid premiums
under section 1401(c) of the Internal Revenue Code of 1986 with respect to such
self-employment income.

(2)

Employer-related
definitions

(A)

Covered
employer

The term covered employer means a
person—

(i)

that
is—

(I)

an
employer;

(II)

a small employer
that has elected to participate in the Program under this part in accordance
with such regulations as the Secretary shall prescribe; or

(III)

a self-employed
individual who has elected to so participate; and

(ii)

that is not a
voluntary plan employer.

(B)

Employer

The
term employer shall have the meaning given that term in section
101(4) of the Family and Medical Leave Act of 1993 (29 U.S.C. 2611(4)), except
that such term shall include any person who employs 2 or more employees for
each working day during each of 20 or more calendar workweeks in the current or
preceding calendar year.

(C)

Small
employer

The term small employer—

(i)

means any person
engaged in commerce or in any industry or activity affecting commerce who
employs not less than 2 and not more than 19 employees for each working day
during each of 20 or more calendar workweeks in the current or preceding
calendar year; and

(ii)

includes—

(I)

any person who
acts, directly or indirectly, in the interest of an employer described in
clause (i) to any of the employees of such employer;

(II)

any successor in
interest of an employer described in clause (i); and

(III)

any public
agency, as defined in section 3(x) of the Fair Labor Standards Act of 1938 (29
U.S.C. 203(x)) that is an employer described in clause (i) but is not an entity
of the Federal Government.

(D)

Voluntary plan
employer

The term voluntary plan employer means an
employer for which the Secretary has approved a voluntary plan under section
114 for the period involved.

(3)

Leave
benefit

The term leave benefit means a family and
medical leave insurance benefit described in section 113.

(4)

Voluntary paid
benefit

The term voluntary paid benefit means a
family and medical leave insurance benefit provided under a voluntary plan
approved under section 114 for the period involved.

112.

Establishment
of program

(a)

Federal
program

The Secretary of
Labor shall establish a Family and Medical Insurance Program.

(b)

State
programs

In carrying out the Federal Program established under
subsection (a), the Secretary may—

(1)

enter into a
contract with a State under which—

(A)

the State agrees to establish, or expand a
State program in effect at the date of the enactment of this Act to include, a
State Family and Medical Insurance Program that provides the benefits described
in this part; and

(B)

the Secretary
agrees to instruct the Managing Trustee of the Family and Medical Leave
Insurance Fund, established under section 141, to provide the State funds for
such benefits from the Insurance Fund; or

(2)

at the request of the Governor of a State,
enter into an interagency agreement with the Commissioner of Social Security
under which—

(A)

the Commissioner of Social Security agrees
to establish a State Family and Medical Insurance Program in such State to
provide the benefits described in this part in such State; and

(B)

the Secretary
agrees to instruct the Managing Trustee of the Insurance Fund to provide the
Commissioner of Social Security funds for such benefits from the Insurance
Fund.

(c)

State
application

To be eligible to receive a contract under subsection
(b)(1), a State shall submit an application to the Secretary at such time, in
such manner, and containing such information as the Secretary may require. At a
minimum, the application shall include information identifying the State agency
to carry out the State Family and Medical Insurance Program under subsection
(b)(1).

113.

Program
benefits

(a)

Entitlement

Subject
to subsections (b), (d), and (e), an eligible employee of a covered employer
shall be entitled to a family and medical leave insurance benefit for a total
of 12 workweeks of leave during any 12-month period for 1 or more of the
following reasons:

(1)

Because of the
birth of a son or daughter of the employee and in order to care for such son or
daughter.

(2)

Because of the
placement of a son or daughter with the employee for adoption or foster
care.

(3)

In order to care
for a child, parent, spouse, domestic partner, grandchild, grandparent, or
sibling of the employee and who has a serious health condition.

(4)

Because of a
serious health condition that makes the employee unable to perform the
functions of the position of such employee.

(5)

Because of any qualifying exigency (as the
Secretary of Labor shall, by regulation, determine) arising out of the fact
that the spouse, or a son, daughter, or parent of the employee is on active
duty (or has been notified of an impending call or order to active duty) in the
Armed Forces of the United States in support of a contingency operation.

(6)

In order to care
for a child, parent, spouse, domestic partner, grandchild, grandparent,
sibling, or next of kin of the employee who is a covered servicemember as such
term is defined in section 101(16) of the Family and Medical Leave Act of 1993
(29 U.S.C. 2611(16)).

(b)

Waiting
period

During each 12-month period described in subsection (a),
each eligible employee shall be subject to a waiting period of 5 workdays of
leave described in subsection (a) (but not more than 7 calendar days), during
which a leave benefit shall not be paid to the employee. The waiting period
shall not reduce the 12 workweeks of leave benefits available under subsection
(a).

(c)

Benefit
amount

(1)

In
general

Subject to paragraph (2), an eligible employee’s leave
benefit for any workday on which the employee takes leave as described in
subsection (a) shall be calculated as—

(A)

in the case of an
employee with an annual income of not more than $20,000, an amount equal to 100
percent of that employee’s daily earnings;

(B)

in the case of an
employee with an annual income of more than $20,000 and not more than $30,000,
an amount equal to the greater of—

(i)

75 percent of that
employee’s daily earnings; or

(ii)

100 percent of
the daily earnings of an employee with an annual income of $20,000;

(C)

in the case of an
employee with an annual income of more than $30,000 and not more than $60,000,
an amount equal to the greater of—

(i)

55 percent of that
employee’s daily earnings; or

(ii)

75 percent of the
daily earnings of an employee with an annual income of $30,000;

(D)

in the case of an
employee with an annual income of more than $60,000 and not more than $97,000,
an amount equal to the greater of—

(i)

40 percent of that
employee’s daily earnings; or

(ii)

55 percent of the
daily earnings of an employee with an annual income of $60,000; and

(E)

in the case of an
employee with an annual income of more than $97,000, an amount equal to 40
percent of the daily earnings of an employee with an annual income of
$97,000.

(2)

Indexing of
annual income categories

(A)

In
general

The Secretary shall index the annual income amounts
specified in paragraph (1) for each calendar year, using the national average
wage index, as determined under section 209(k) of the Social Security Act (42
U.S.C. 409(k)).

(B)

Publication

Not
later than the November 1 preceding each calendar year, the Secretary shall
publish in the Federal Register the indexed amount determined under
subparagraph (A) for that calendar year.

(d)

Application

(1)

In
general

To be eligible to
receive a family and medical insurance benefit under this part in a State, an
eligible employee shall submit an application to the covered agency for the
State at such time, in such manner, and containing the information specified in
paragraph (3) and such additional information as the agency may require.

(2)

Irrevocability
for self-employed individuals

An election by a self-employed
individual to participate in the Program shall be irrevocable.

(3)

Certification
requirements

The covered agency shall require each of the
following, as part of the application for benefits under this section in
connection with any leave:

(A)

A certification,
submitted in a timely manner, issued by the health care provider of the
eligible employee or of the child, spouse, parent, domestic partner,
grandchild, grandparent or sibling of the employee, as appropriate, and similar
to the certification described section 103(b) of the Family and Medical Leave
Act of 1993 (29 U.S.C. 2613(b)) in connection with such leave.

(B)

In any case in
which the covered agency has reason to doubt the validity of the certification
provided under subparagraph (A), the Secretary may require, at the expense of
the covered agency, that the eligible employee obtain the opinion of a second
health care provider designated or approved by the agency concerning any
information certified under subparagraph (A).

(C)

In any case in
which the second opinion described in subparagraph (B) differs from the opinion
in the original certification provided under subparagraph (A), the covered
agency may require, at the expense of the agency, that the employee obtain the
opinion of a third health care provider designated or approved jointly by the
agency and the employee concerning the information certified under subparagraph
(A). The opinion of the third health care provider concerning such information
shall be considered to be final and shall be binding on the agency and the
employee.

(e)

Payment of
benefits

(1)

Payment from
insurance fund

Payments of benefits required to be made under
this section shall be made only from the Insurance Fund established under
section 141.

(2)

Certification
and payment

On the final decision of a covered agency or on the
final judgment of any court of competent jurisdiction pursuant to paragraph (3)
that any person is entitled to any payment under this section—

(A)

the covered agency
shall certify to the Managing Trustee of the Board of Trustees of the Insurance
Fund the name and address of the person entitled to receive such payment, the
amount of such payment, and the time at which such payment shall be
made;

(B)

the Managing
Trustee shall pay the certified amount from the Insurance Fund to the covered
agency; and

(C)

the covered agency
shall make the payment to the person.

(3)

Review

Any
eligible employee dissatisfied with any initial determination under this
section shall be entitled to reconsideration of the determination, and a
hearing on the determination, by the Secretary to the same extent as is
provided in section 205(b) of the Social Security Act (42 U.S.C. 22 405(b)) and
to judicial review of the final decision after such hearing as is provided in
section 205(g) of the Social Security Act (42 U.S.C. 405(g)).

(4)

Withholding of
certification

In any case in which a review of the covered
agency’s decision is or may be sought under paragraph (3), the covered agency
may withhold certification of payment pending such review.

(5)

Other
compensation

Except as provided in section 115, no employee shall
be eligible to receive paid leave benefits under this part for any period
during which—

(A)

the employee is
receiving worker’s compensation or compensation through unemployment insurance
in connection with the event for which the employee is taking the leave;
or

(B)

the employee is
receiving paid leave benefits from an employer under a voluntary employer plan
approved under section 114.

(f)

Regulations

The
Secretary shall issue regulations to carry out this section, including the
determination of benefits for leave taken intermittently or on a reduced leave
schedule, or for leave taken by a part-time, seasonal, or intermittent
employee.

114.

Voluntary
employer plan

(a)

In
general

Any employer may
submit an application to the Secretary for approval of a voluntary plan. The
Secretary may require the employer to resubmit the plan for approval on a
annual basis. During a period for which the Secretary has approved a plan, the
applicant shall provide a voluntary paid benefit under the plan rather than
participating in the Program.

(b)

Approval

The Secretary shall approve the voluntary
plan of the applicant if the Secretary finds each of the following with respect
to the applicant:

(1)

The rights
afforded to the employees covered under the plan are equal to or greater than
the rights afforded through the Program.

(2)

The plan has been
made available to all of the employees of the applicant employed in the United
States or to all employees at any 1 distinct, separate establishment maintained
by the applicant in the United States.

(3)

A majority of the employees of the employer
employed in the United States or a majority of the employees employed at any
one distinct, separate establishment maintained by the employer in the United
States have consented to the plan.

(4)

The plan provides
for insurance to be issued by an admitted disability insurer approved by the
Secretary or equivalent insurance (which may be self-insurance).

(5)

The applicant has
consented to the plan and has agreed to make the premium contributions
required, if any, and transmit the proceeds to the disability insurer, if
any.

(6)

The plan provides
for the inclusion of future employees.

(7)(A)

The plan will be in
effect for a period of not less than 1 year and, thereafter, continuously
unless the Secretary finds that the applicant has given notice of intent to
terminate the plan, as described in subparagraph (B), and that the fee
described in subparagraph (C) has been paid.

(B)

The notice shall be filed in writing
with the Secretary and shall be effective—

(i)

on the anniversary of the effective
date of the plan next following the date of the filing of the notice; or

(ii)

if such anniversary would occur
less than 30 days after the date of the filing of the notice, on the next
anniversary of that effective date.

(C)

The applicant shall pay a fee to the
Secretary in such amount as the Secretary determines to be adequate to provide
leave benefits under this part to all eligible employees of the applicant for a
period of at least 4 months, plus an amount to pay administrative costs related
to processing and paying such benefits.

(D)

Amounts received by the Secretary
under this paragraph shall be deposited in the Insurance Fund.

(8)

The amount of
deductions from the wages of an employee that is in effect for the plan shall
not be increased on any date other than on the date of an anniversary of the
effective date of the plan.

(c)

Orders and
withdrawal of approval

If the Secretary finds that a voluntary
plan employer is not paying voluntary paid benefits required under the
voluntary plan to the employees under the plan, the Secretary may order the
employer to make the payments. If the Secretary finds that a voluntary plan
employer is not complying with the provisions of the plan, including by not
paying voluntary paid benefits required under the plan, the Secretary may
revoke the Secretary’s approval for the plan, and require the employer to
participate in the Program.

115.

Additional
benefits

(a)

Additional
employer benefits

(1)

Covered
employers

Nothing in this part shall be construed to discourage a
covered employer from providing an additional benefit in conjunction with leave
described in section 113(a) to an eligible employee, in addition to the leave
benefit provided to that employee. The additional employer benefit shall not
reduce the amount of the leave benefit that an eligible employee receives under
this part.

(2)

Voluntary plan
employers

Nothing in this part shall be construed to discourage a
voluntary plan employer from providing an additional benefit in conjunction
with leave described in section 113(a) to an employee, in addition to the
voluntary paid benefit provided to that employee. The additional employer
benefit shall not reduce the amount of the voluntary paid benefit that an
employee receives under a voluntary plan described in section 114.

(b)

Collective
bargaining

(1)

More
protective

Nothing in this part shall be construed to diminish
the obligation of a covered employer or voluntary plan employer to comply with
any collective bargaining agreement or any employment benefit program or plan
that provides greater paid leave rights to employees than the rights
established under this part (including rights established under a plan
described in section 114).

(2)

Less
protective

The rights established for employees under this part
(including rights established under a plan described in section 114) shall not
be diminished by any collective bargaining agreement or any employment benefit
program or plan.

116.

Prohibited acts
by employer

(a)

Interference
with rights

It shall be unlawful for any covered employer to
interfere with, restrain, or deny the exercise of or the attempt to exercise,
any right provided under this part.

(b)

Discrimination

It
shall be unlawful for any covered employer to discharge or in any other manner
discriminate against any individual for opposing any practice made unlawful by
this part.

(c)

Interference
with proceedings or inquiries

It shall be unlawful for any person
to discharge or in any other manner discriminate against any individual because
such individual—

(1)

has filed any
charge, or has instituted or caused to be instituted any proceeding, under or
related to this part;

(2)

has given, or is
about to give, any information in connection with any inquiry or proceeding
relating to any right provided under this part; or

(3)

has testified, or
is about to testify, in any inquiry or proceeding relating to any right
provided under this part.

117.

Enforcement

(a)

Civil action by
employees

(1)

Liability

Any
covered employer who violates section 116 shall be liable to any eligible
employee affected—

(A)

for damages equal
to—

(i)

the
amount of—

(I)

any wages, salary,
employment benefits, or other compensation denied or lost to such employee by
reason of the violation; or

(II)

in a case in
which wages, salary, employment benefits, or other compensation have not been
denied or lost to the employee, any actual monetary losses sustained by the
employee as a direct result of the violation, such as the cost of providing
care, up to a sum equal to 8 weeks of wages or salary for the employee;

(ii)

the
interest on the amount described in clause (i) calculated at the prevailing
rate; and

(iii)

an
additional amount as liquidated damages equal to the sum of the amount
described in clause (i) and the interest described in clause (ii), except that
if a covered employer who has violated section 116 proves to the satisfaction
of the court that the act or omission which violated section 116 was in good
faith and that the employer had reasonable grounds for believing that the act
or omission was not a violation of section 116, such court may, in the
discretion of the court, reduce the amount of the liability to the amount and
interest determined under clauses (i) and (ii), respectively; and

(B)

for such equitable
relief as may be appropriate, including employment, reinstatement, and
promotion.

(2)

Right of
action

(A)

In
general

Except as provided in subparagraph (B), an action to
recover the damages or equitable relief prescribed in paragraph (1) may be
maintained against any covered employer (including a public agency) in any
Federal or State court of competent jurisdiction by any 1 or more employees for
and on behalf of—

(i)

the
employees; or

(ii)

the
employees and other employees similarly situated.

(B)

Limitation

The
right provided by subparagraph (A) to bring an action by or on behalf of any
employee shall terminate—

(i)

on
the filing of a complaint by the Secretary in an action under subsection (b)(3)
in which restraint is sought of any further delay in the payment of the amount
described in paragraph (1)(A) to such employee by an employer responsible under
paragraph (1) for the payment; or

(ii)

on
the filing of a complaint by the Secretary in an action under paragraph (1) or
(2) of subsection (b) in which a recovery is sought of the damages described in
paragraph (1)(A) owing to an eligible employee by an employer liable under
paragraph (1),

unless
the action described in clause (i) or (ii) is dismissed without prejudice on
motion of the Secretary.(3)

Fees and
costs

The court in an action brought under this subsection shall,
in addition to any judgment awarded to the plaintiff, allow a reasonable
attorneys’ fee, reasonable expert witness fees, and other costs of the action
to be paid by the defendant.

(b)

Actions by the
Secretary

(1)

Administrative
action

The Secretary shall receive, investigate, and attempt to
resolve complaints of violations of section 116 in the same manner that the
Secretary receives, investigates, and attempts to resolve complaints of
violations of sections 6 and 7 of the Fair Labor Standards Act of 1938 (29
U.S.C. 206 and 207).

(2)

Civil
action

(A)

Right of
action

The Secretary may bring an action in any court of
competent jurisdiction to recover the damages described in subsection
(a)(1)(A).

(B)

Sums
recovered

Any sums recovered by the Secretary pursuant to this
paragraph shall be held in a special deposit account and shall be paid, on
order of the Secretary, directly to each employee affected. Any such sums not
paid to an employee because of inability to do so within a period of 3 years
shall be deposited into the Treasury of the United States as miscellaneous
receipts.

(3)

Action for
injunction by the secretary

The district courts of the United
States shall have jurisdiction, for cause shown, in an action brought by the
Secretary—

(A)

to restrain
violations of section 116, including the restraint of any withholding of
payment of wages, salary, employment benefits, or other compensation, plus
interest, found by the court to be due to eligible employees; or

(B)

to award such
other equitable relief as may be appropriate, including employment,
reinstatement, and promotion.

(4)

Solicitor of
labor

The Solicitor of Labor may appear for and represent the
Secretary on any litigation brought under this subsection.

(c)

Limitation

(1)

Except as provided
in paragraph (2), an action may be brought under subsections (a) or (b) not
later than 2 years after the date of the last event constituting the alleged
violation for which the action is brought.

(2)

Willful
violation

In the case of such action brought for a willful
violation of section 116, such action may be brought within 3 years of the date
of the last event constituting the alleged violation for which such action is
brought.

(3)

Commencement

In
determining when an action is commenced by the Secretary for the purposes of
this subsection, it shall be considered to be commenced on the date when the
complaint is filed.

(d)

Investigative
authority

(1)

In
general

To ensure compliance with the provisions of this part, or
any regulation or order issued under this part, the Secretary shall have,
subject to paragraph (3), the investigative authority provided under section
11(a) of the Fair Labor Standards Act of 1938 (29 U.S.C. 211(a)).

(2)

Obligation to
keep and preserve records

Any covered employer shall make, keep,
and preserve records pertaining to compliance with this part in accordance with
section 11(c) of the Fair Labor Standards Act of 1938 (29 U.S.C. 211(c)) and in
accordance with regulations issued by the Secretary. The Secretary shall have
access to the records for purposes of conducting audits.

(3)

Required
submissions generally limited to an annual basis

The Secretary
shall not under the authority of this subsection require any covered employer
or any plan, fund, or program to submit to the Secretary any books or records
more than once during any 12-month period, unless the Secretary has reasonable
cause to believe there may exist a violation of this part or any regulation or
order issued pursuant to this part, or is investigating a charge pursuant to
subsection (b).

(4)

Subpoena
power

For the purposes of any investigation provided for in this
section, the Secretary shall have the subpoena authority provided for under
section 9 of the Fair Labor Standards Act of 1938 (29 U.S.C. 209).

118.

Penalties

(a)

Penalties for
submission of false certifications

If the Secretary finds that
any individual submits a false certification of the health condition of any
person in order to obtain leave benefits under this part with the intent to
defraud, the Secretary shall assess a penalty against the individual in an
amount up to 100 percent of the benefits paid as a result of the false
certification. Penalties collected under this subsection shall be deposited in
the Insurance Fund, notwithstanding the provisions of title 31, United States
Code and used to reimburse the covered employers involved for the amount of the
leave benefits.

(b)

Criminal
penalties for false statements and solicitations

Whoever—

(1)

makes or causes to
be made any false statement in support of an application for leave benefits
under this part;

(2)

knowingly presents
or causes to be presented any false written or oral material statement in
support of any claim for leave benefits under this part;

(3)

knowingly
solicits, receives, offers, pays, or accepts any rebate, refund, commission,
preference, patronage, dividend, discount, or other consideration, whether in
the form of money or otherwise, as compensation or inducement for soliciting a
claimant to apply for leave benefits under this part, except to the extent
authorized by a law of the United States; or

(4)

knowingly assists,
abets, solicits, or conspires with any person to engage in an act that is
prohibited under paragraph (1), (2), or (3),

shall be
guilty of a felony and upon conviction shall be fined under title 18, United
States Code, or imprisoned for not more than 5 years, or both.119.

Education
programs

(a)

Authority

The
Secretary shall develop and maintain a program of education concerning the
rights and leave benefits under this part.

(b)

Notice to
employers

The Secretary shall provide to each covered employer a
notice informing employees of the rights and leave benefits available under
this part. The notice shall be given by every covered employer to each employee
hired, and to each employee taking leave as described in section 113(a).

120.

Regulations

The Secretary shall issue regulations to
carry out this part.

121.

Effective
date

This part shall take
effect on January 1, 2012, and apply to periods of leave that commence on or
after January 1, 2013.

2

Civil
service family and medical leave insurance program

131.

Program
definitions

In this
part:

(1)

Agency

The
term agency means an agency covered under subchapter V of chapter
63 of title 5, United States Code.

(2)

Agency
employee

The term agency employee means an employee
who—

(A)

meets the
requirements of paragraph (1) of section 6381 of title 5, United States Code;
and

(B)

has earned wages
with an agency for 12 of the last 18 months, prior to filing an application for
leave benefits under this part.

132.

Establishment
of program

(a)

In
general

The Director of the
Office of Personnel Management shall establish a Civil Service Family and
Medical Leave Insurance Program, and shall issue regulations providing for the
implementation of the program. In issuing the regulations, the Director shall
require that the Director shall provide, or that the agencies shall provide,
family and medical leave insurance benefits described in section 113 to agency
employees. The regulations issued under this subsection shall include
provisions that are the same as regulations issued by the Secretary to
implement the statutory provisions of sections 113, 115, 119, and 120, except
insofar as the Director may determine, for good cause shown and stated together
with the regulations, that a modification of the regulations would be more
effective for the implementation of the rights and protections under those
sections. The regulations shall provide for appropriate remedies and procedures
for violations of this part.

(b)

Payment

At
the direction of the Director or the head of an agency, as specified in the
regulations, the Managing Trustee shall pay funds from the Insurance Fund for
the leave benefits.

3

Family
and medical leave insurance fund

141.

Establishment

(a)

In
general

There is created in the Treasury of the United States a
trust fund to be known as the Family and Medical Leave Insurance Fund. The
Insurance Fund shall consist of such amounts as may be deposited in, or
appropriated to, such fund as provided in this section.

(b)

Appropriations
to Insurance Fund

(1)

Amounts
appropriated

There is appropriated to the Insurance Fund for
fiscal year 2012 and each fiscal year thereafter, out of any moneys in the
Treasury not otherwise appropriated, amounts equivalent to 100 percent
of—

(A)

the family and
medical leave premiums imposed by sections 3101(c) and 3111(c) of the Internal
Revenue Code of 1986 with respect to wages (as defined in section 3121 of such
Code) reported to the Secretary of the Treasury or the Secretary’s delegate
under subtitle F of such Code after December 31, 2010, as determined by the
Secretary of the Treasury by applying the applicable rates of premium payment
under such sections to such wages, which wages shall be certified by the
Commissioner of Social Security;

(B)

on the basis of
the records of wages established and maintained by the Commissioner of the
Social Security Administration in accordance with such reports;

(C)

the family and
medical leave premiums imposed by section 1401(c) of such Code with respect to
self-employment income (as defined in section 1402 of such Code) reported to
the Secretary of the Treasury or the Secretary’s delegate on tax returns under
subtitle F of such Code after December 31, 2009, as determined by the Secretary
of the Treasury by applying the applicable rate of premium payment under such
section 1401(c) to such self-employment income, which self-employment income
shall be certified by the Commissioner of Social Security; and

(D)

on the basis of
the records of self-employment income established and maintained by the
Commissioner of Social Security in accordance with such returns.

(2)

Transfers

Such
appropriated amounts shall be transferred from time to time from the general
fund of the Treasury to the Insurance Fund. Such amounts shall be determined on
the basis of estimates by the Secretary of the Treasury of the premiums,
specified in paragraph (1), paid to or deposited into the Treasury, and proper
adjustments shall be made in amounts subsequently transferred to the extent
prior estimates were in excess of or were less than such premiums.

(3)

Investments

All
amounts transferred to the Insurance Fund under paragraph (2) shall be invested
by the Managing Trustee referred to in section 312(c) in the same manner and to
the same extent as the other assets of the Insurance Fund.

142.

Board of
Trustees

(a)

Establishment
and membership

With respect to the Insurance Fund, there is
established a body to be known as the Board of Trustees of the Insurance Fund
which shall be composed of the Secretary of the Treasury, the Secretary of
Labor, the Commissioner of Social Security, and the Secretary of Health and
Human Services, all ex officio, and of two members of the public (both of whom
may not be from the same political party), who shall be nominated by the
President, by and with the advice and consent of the Senate.

(b)

Terms and
vacancies

Members of the Board of Trustees shall serve for a
period of 4 years. A member of the Board of Trustees nominated and confirmed as
a member of the public to fill a vacancy occurring during a term shall be
nominated and confirmed only for the remainder of such term. An individual
nominated and confirmed as a member of the public may serve in such position
after the expiration of such member’s term until the earlier of the date on
which the member’s successor takes office or the date on which a report of the
Board is first issued under paragraph (2) after the expiration of the member’s
term.

(c)

Managing trustee
and secretary

The Secretary of the Treasury shall be the Managing
Trustee of the Board of Trustees. The Secretary of Labor shall serve as the
Secretary of the Board of Trustees.

(d)

Basic duties of
the board of trustees

The Board of Trustees shall meet not less
frequently than once each calendar year. It shall be the duty of the Board of
Trustees to—

(1)

hold the Insurance Fund;

(2)

report to Congress
not later than April 1 of each year—

(A)

on the operation
and status of the Insurance Fund during the fiscal year preceding the fiscal
year in which the report is made; and

(B)

on the expected
operation and status of the Insurance Fund during the fiscal year in which the
report is made and the next 2 fiscal years;

(3)

report immediately
to Congress whenever the Board is of the opinion that the amount in the
Insurance Fund is unduly small; and

(4)

review the general
policies followed in managing the Insurance Fund, and recommend changes in such
policies, including necessary changes in the provisions of law that govern the
way in which the Insurance Fund is to be managed.

(e)

Requirements
relating to annual report

The report provided for in subsection
(d)(2) shall include a statement of the assets of, and the disbursements made
from, the Insurance Fund during the fiscal year preceding the fiscal year in
which the report is made, an estimate of the expected income to, and
disbursements to be made from, the Insurance Fund during the fiscal year in
which the report is made and each of the next two fiscal years, and a statement
of the actuarial status of the Insurance Fund. Such report shall also include
an actuarial opinion by an appropriate employee of the Department of Labor
certifying that the techniques and methodologies used for the report are
generally accepted within the actuarial profession and that the assumptions and
cost estimates used for the report are reasonable.

(f)

Liability

A
person serving as a member of the Board of Trustees shall not be considered to
be a fiduciary and shall not be personally liable for actions taken in such
capacity with respect to the Insurance Fund.

143.

Investment of
the Family and Medical Leave Insurance Fund

(a)

Obligations

It
shall be the duty of the Managing Trustee to invest such portion of the
Insurance Fund as is not, in the trustee’s judgment, required to meet current
withdrawals. Such investments may be made only in interest-bearing obligations
of the United States or in obligations guaranteed as to both principal and
interest by the United States.

(b)

Acquisition

The
obligations referred to in subsection (a) may be acquired—

(1)

on original issue
at the issue price; or

(2)

by purchase of
outstanding obligations at the market price.

(c)

Obligations
issued for purchase by fund

The purposes for which obligations of
the United States may be issued under chapter 31 of title 31, United States
Code, are extended to authorize the issuance at par of public debt obligations
for purchase by the Insurance Fund. Such obligations issued for purchase by the
Insurance Fund shall have dates of maturity fixed with due regard for the needs
of the Insurance Fund. Such obligations shall bear interest at a rate equal
to—

(1)

except as provided
in paragraph (2), the average market yield (computed by the Managing Trustee on
the basis of market quotations as of the end of the calendar month preceding
the date of such issue) on all marketable interest-bearing obligations of the
United States forming a part of the public debt that are not due or callable
until after the expiration of four years from the end of such calendar month;
or

(2)

in a case in which
such average market yield is not a multiple of 0.1 percent, the multiple of 0.1
percent nearest such market yield.

(d)

Other
obligations

The Managing Trustee may purchase interest-bearing
obligations of the United States that are not described in subsection (c) or
obligations guaranteed as to both principal and interest by the United States,
on original issue or at the market price, only in cases in which the trustee
determines that the purchase of obligations described in this paragraph is in
the public interest.

(e)

Disposition and
redemption of obligations

Any obligations acquired by the
Insurance Fund (except public debt obligations issued exclusively to the
Insurance Fund) may be sold by the Managing Trustee at the market price, and
such public debt obligations may be redeemed at par plus accrued
interest.

(f)

Crediting of
interest and proceeds

The interest on, and the proceeds from the
sale or redemption of, any obligations held in the Insurance Fund shall be
credited to and form a part of the Insurance Fund.

144.

Payments from
Family and Medical Leave Insurance Fund

The Managing Trustee shall pay from time to
time from the Insurance Fund such amounts as the Secretary of Labor certifies
are necessary to make the payments provided for by section 113, and payments
with respect to administrative expenses under section 145.

145.

Administrative
expenses

(a)

Availability of
insurance fund

Under regulations that shall be prescribed by the
Secretary of Labor, funds shall be made available from the Insurance Fund in
connection with the administration of this subtitle and the administration of
related provisions of the Internal Revenue Code of 1986 in the same manner and
extent as funds are made available from the trust funds referred to in section
201(g) of the Social Security Act (42 U.S.C. 401(g)) in connection with the
administration of the relevant provisions referred to in such section.

(b)

Authorization of
appropriations

There are authorized to be made available for
expenditure such amounts as Congress may determine to be appropriate to pay the
costs of the part of the administration of this subtitle (including start-up
costs, technical assistance, and costs for small employers electing to
participate in the Family and Medical Leave Insurance Program) for which the
Secretary of Labor is responsible.

(c)

Gifts and
bequests

The Managing Trustee may accept on behalf of the United
States money gifts and bequests made unconditionally to the Insurance Fund for
the benefit of the Insurance Fund or any activity financed through the
Insurance Fund and such gifts and bequests shall be deposited into the
Insurance Fund.

(d)

Processing of
tax data

Section 232 of the Social Security Act (42 U.S.C. 432)
shall apply with respect to this subtitle, in the same manner and to the same
extent as such section applies with respect to title II of the Social Security
Act (42 U.S.C. 401 et seq.).

146.

Amendments to
the Internal Revenue Code of 1986

(a)

Employee
premiums

Section 3101 of the Internal Revenue Code of 1986
(relating to tax on employees) is amended—

(1)

by redesignating
subsection (c) as subsection (d); and

(2)

by inserting after
subsection (c) the following new subsection:

(c)

Family and
medical leave premiums

(1)

In
general

In addition to the taxes imposed by subsections (a) and
(b), there is imposed on the income of every individual a family and medical
leave premium equal to the applicable percentage of the wages (as defined in
section 3121(a)) received by the individual with respect to employment (as
defined in section 3121(b)).

(2)

Applicable
percentage

For purposes of paragraph (1), the applicable
percentage is—

(A)

0.1 percent with
respect to periods of employment by a small employer (as defined in section
103(b) of the Family Leave Insurance Act) electing to participate in the Family
and Medical Leave Insurance Program (established under section 112 of such
Act); and

(B)

0.2 percent with
respect to all other periods of employment.

(3)

Exception for
certain employment

Paragraph (1) shall not apply with respect to
a period of employment—

(A)

by an employer
during which the Secretary of Labor determines the employer has in effect a
plan which is equivalent to or better than the Family and Medical Leave
Insurance Program (established under section 112 of the Family Leave Insurance
Act); or

(B)

by a small
employer (as so defined) who has not elected to participate in such
Program.

For
purposes of the preceding sentence, the Secretary of Labor shall prescribe such
regulations as may be appropriate or necessary, including regulations requiring
documentation of employer
programs.

.

(b)

Employer
premiums

Section 3111 of the Internal Revenue Code of 1986
(relating to tax on employers) is amended—

(1)

by redesignating
subsection (c) as subsection (d); and

(2)

by inserting after
subsection (c) the following new subsection:

(c)

Family and
medical leave premiums

(1)

In
general

In addition to the excise taxes imposed by subsections
(a) and (b), there is imposed on every employer a family and medical leave
premium, with respect to having individuals in such employer’s employ, equal to
the applicable percentage of the wages (as defined in section 3121(a)) paid by
such employer with respect to employment (as defined in section
3121(b)).

(2)

Applicable
percentage

For purposes of paragraph (1), the applicable
percentage is—

(A)

0.1 percent with
respect to small employers (as defined in section 103(b) of the Family Leave
Insurance Act) electing to participate in the Family and Medical Leave
Insurance Program (established under section 112 of such Act); and

(B)

0.2 percent with
respect to all other employers.

(3)

Exception for
certain employers

Paragraph (1) shall not apply for any period
with respect to an employer to whom paragraph (1) of section 3101(c) does not
apply by reason of paragraph (3)
thereof.

.

(c)

Self-Employed
premiums

Section 1401 of the Internal Revenue Code of 1986 is
amended—

(1)

by redesignating
subsection (c) as subsection (d); and

(2)

by inserting after
subsection (b) the following new subsection:

(c)

Family and
medical leave premiums

(1)

In
general

In addition to the taxes imposed by subsections (a) and
(b), there is imposed for each taxable year, on the self-employment income of
every individual, a family and medical leave premium equal to 0.4 percent of
the amount of the self-employment income for such taxable year.

(2)

Exception for
certain employers

Paragraph (1) shall not apply for any period
with respect to an employer who has not elected to participate in the Family
and Medical Leave Insurance Program (established under section 112 of the
Family Leave Insurance
Act).

.

(d)

Conforming
amendments to Social Security Act

Section 201 of the Social
Security Act (42 U.S.C. 401) is amended—

(1)

by striking
sections 3101(b) and 3111(b) both places it appears in
subsection (a)(3) and inserting sections 3101(b), 3101(c), 3111(b), and
3111(c), and

(2)

by striking
section 1401(b) both places it appears in subsection (a)(4) and
inserting sections 1401(b) and 1401(c).

(e)

Effective
Date

(1)

Employment
premiums

The amendments made by subsections (a), (b), and (d)(1)
shall apply to wages paid after December 31, 2010.

(2)

Self-employment
premiums

The amendments made by subsections (c) and (d)(2) shall
apply to taxable years beginning after December 31, 2010.

B

Family and Medical
Leave Enhancement Act

151.

Short
title

This subtitle may be
cited as the Family and Medical Leave
Enhancement Act.

152.

Eligible
employee

Section 101(2)(B)(ii)
of the Family and Medical Leave Act of 1993 (29 U.S.C. 2611(2)(B)(ii)) is
amended by striking less than 50 each place it appears and
inserting fewer than 25.

153.

Entitlement to
additional leave under the FMLA for parental involvement and family
wellness

(a)

Leave
requirement

Section 102(a) of the Family and Medical Leave Act of
1993 (29 U.S.C. 2612(a)) is amended by adding at the end the following new
paragraph:

(6)

Entitlement to
additional leave for parental involvement and family wellness

(A)

In
general

Subject to subparagraph (B) and section 103(g), an
eligible employee shall be entitled to leave under this paragraph to—

(i)

participate in or
attend an activity that is sponsored by a school or community organization and
relates to a program of the school or organization that is attended by a son or
daughter or a grandchild of the employee; or

(ii)

meet routine family medical care needs,
including for medical and dental appointments of the employee or a son,
daughter, spouse, or grandchild of the employee, or to attend to the care needs
of elderly individuals who are related to the eligible employee, including
visits to nursing homes and group homes.

(B)

Limitations

(i)

In
general

An eligible employee
is entitled to—

(I)

not to exceed 4
hours of leave under this paragraph during any 30-day period; and

(II)

not to exceed 24
hours of leave under this paragraph during any 12-month period.

(ii)

Coordination
rule

Leave under this paragraph shall be in addition to any leave
provided under any other paragraph of this subsection.

(C)

Definitions

As
used in this paragraph:

(i)

School

The
term school means an elementary school or secondary school (as
such terms are defined in section 9101 of the Elementary and Secondary Education Act of 1965
(20 U.S.C. 7801)), a Head Start program assisted under the
Head Start Act (42 U.S.C. 9831 et
seq.), or a child care facility.

(ii)

Community
organization

The term community organization means a
private nonprofit organization that is representative of a community or a
significant segment of a community and provides activities for individuals
described in subparagraph (A) or (B) of section 101(12), such as a scouting or
sports
organization.

.

(b)

Schedule

Section
102(b)(1) of such Act (29 U.S.C. 2612(b)(1)) is amended by inserting after the
third sentence the following new sentence: Leave under subsection (a)(6)
may be taken intermittently or on a reduced leave schedule..

(c)

Substitution of
paid leave

Section 102(d)(2) of such Act (29 U.S.C. 2612(d)(2))
is amended by adding at the end the following new subparagraph:

(C)

Parental
involvement leave and family wellness leave

An eligible employee may elect, or an
employer may require the employee, to substitute any of the accrued paid
vacation leave, personal leave, or family leave of the employee for any leave
under subsection (a)(6). In addition, an eligible employee may elect, or an
employer may require the employee, to substitute any of the accrued paid
medical or sick leave of the employee for leave provided under clause (ii) of
subsection (a)(6)(A) for any part of the leave under such clause, except that
nothing in this title shall require an employer to provide paid sick leave or
paid medical leave in any situation in which such employer would not normally
provide any such paid leave. If the employee elects or the employer requires
the substitution of accrued paid leave for leave provided under subsection
(a)(6)(A), the employer shall not restrict or limit this substitution or impose
any additional terms and conditions on such leave that are more stringent on
the employee than the terms and conditions set forth in this
Act.

.

(d)

Notice

Section
102(e) of such Act (29 U.S.C. 2612(e)) is amended by adding at the end the
following new paragraph:

(4)

Notice relating
to parental involvement and family wellness leave

In any case in which an employee requests
leave under paragraph (6) of subsection (a), the employee shall—

(A)

provide the
employer with not less than 7 days’ notice or as much notice as is practicable
before the date the leave is to be taken, of the employee’s intention to take
leave under such paragraph; and

(B)

in the case of leave to be taken under
subparagraph (A)(ii), make a reasonable effort to schedule the leave so as not
to disrupt unduly the operations of the employer, subject to the approval of
the health care provider involved (if
any).

.

(e)

Certification

Section
103 of such Act (29 U.S.C. 2613) is amended by adding at the end the following
new subsection:

(g)

Certification
related to parental involvement and family wellness leave

An
employer may require that a request for leave under section 102(a)(6) be
supported by a certification issued at such time and in such manner as the
Secretary may by regulation
prescribe.

.

(f)

Definition of
grandchild

Section 101 of the Family and Medical Leave Act of
1993 (29 U.S.C. 2611) is amended by adding at the end the following new
paragraph:

(20)

Grandchild

The
term grandchild means a son or daughter of an employee’s son or
daughter.

.

154.

Entitlement of
Federal employees to leave for parental involvement and family
wellness

(a)

Leave
requirement

Section 6382(a) of title 5, United States Code, is
amended by adding at the end the following new paragraph:

(5)(A)

Subject to subparagraph
(B)(i) and section 6383(f), an employee shall be entitled to leave under this
paragraph to—

(i)

participate in or attend an activity
that is sponsored by a school or community organization and relates to a
program of the school or organization that is attended by a son or daughter or
a grandchild of the employee; or

(ii)

meet routine family medical care
needs, including for medical and dental appointments of a son, daughter,
spouse, or grandchild of the employee, or to attend to the care needs of
elderly individuals who are related to the eligible employee, including visits
to nursing homes and group homes.

(B)(i)

An employee is entitled
to—

(I)

not to exceed 4 hours of leave under
this paragraph during any 30-day period; and

(II)

not to exceed 24 hours of leave under
this paragraph during any 12-month period.

(ii)

Leave under this paragraph shall be in
addition to any leave provided under any other paragraph of this
subsection.

(C)

For the purpose of this
paragraph—

(i)

the term school means an
elementary school or secondary school (as such terms are defined in section
9101 of the Elementary and Secondary Education
Act of 1965), a Head Start program assisted under the
Head Start Act, and a child care
facility licensed under State law; and

(ii)

the term community
organization means a private nonprofit organization that is
representative of a community or a significant segment of a community and
provides activities for individuals described in subparagraph (A) or (B) of
section 6381(6), such as a scouting or sports
organization.

.

(b)

Schedule

Section
6382(b)(1) of such title is amended—

(1)

by inserting after
the second sentence the following new sentence: Leave under subsection
(a)(5) may be taken intermittently or on a reduced leave schedule.;
and

(2)

in the last
sentence, by striking involved, and inserting involved
(or, in the case of leave under subsection (a)(5), for purposes of any 30-day
or 12-month period),.

(c)

Substitution of
paid leave

Section 6382(d) of such title is amended—

(1)

by inserting
(1) after the subsection designation; and

(2)

by adding at the
end the following:

(2)

An employee may elect to substitute for
leave under subsection (a)(5), any of the employee’s accrued or accumulated
annual or sick leave under subchapter I. If the employee elects to substitute
accumulated annual or sick leave for leave provided under subsection (a)(5),
the employing agency shall not restrict or limit this substitution or impose
any additional terms and conditions on such leave that are more stringent on
the employee than the terms and conditions set forth in this
subchapter.

.

(d)

Notice

Section
6382(e) of such title is amended by adding at the end the following new
paragraph:

(4)

In any case in which an employee requests
leave under paragraph (5) of subsection (a), the employee shall—

(A)

provide the employing agency with not
less than 7 days’ notice, before the date the leave is to be taken, of the
employee’s intention to take leave under such paragraph; and

(B)

in the case of leave to be taken under
subparagraph (A)(ii), make a reasonable effort to schedule the leave so as not
to disrupt unduly the operations of the employer, subject to the approval of
the health care provider involved (if
any).

.

(e)

Certification

Section
6383(f) of such title is amended by striking 6382(a)(3) and
inserting paragraph (3) or (5) of section 6382(a).

(f)

Definition of
grandchild

Section 6381 of title 5, United States Code, is
amended—

(1)

in paragraph (11),
by striking and at the end;

(2)

in paragraph (12),
by striking the period at the end and inserting ; and;
and

(3)

by adding at the
end the following new paragraph:

(13)

the term
grandchild means a son or daughter of an employee’s son or
daughter.

.

C

Domestic Violence
Leave Act

161.

Short
title

This subtitle may be
cited as the Domestic Violence Leave
Act.

162.

Entitlement to
leave for domestic violence, sexual assault, or stalking

(a)

Authority for
Leave

Section 102(a)(1) of the Family and Medical Leave Act of
1993 (29 U.S.C. 2612(a)(1)) is amended by adding at the end the
following:

(F)

In order to care for the family member of
the employee, if such family member is addressing domestic violence, sexual
assault, or stalking and their effects.

(G)

Because the
employee is addressing domestic violence, sexual assault, or stalking and their
effects, the employee is unable to perform any of the functions of the position
of such
employee.

.

(b)

Definitions

Section 101 of the Family and Medical Leave
Act of 1993 (29 U.S.C. 2611) (as amended by section 193(f)) is further amended
by adding at the end the following:

(21)

Domestic
violence

The term domestic violence has the meaning
given such term in section 40002 of the Violence Against Women Act of 1994 (42
U.S.C. 13925), and includes dating violence, as such term is defined in such
section.

(22)

Sexual
assault

The term sexual
assault has the meaning given that term in section 40002 of the Violence
Against Women Act of 1994 (42 U.S.C. 13925).

(23)

Stalking

The
term stalking has the meaning given such term in section 40002 of
the Violence Against Women Act of 1994 (42 U.S.C. 13925).

(24)

Addressing
domestic violence, sexual assault, or stalking and their
effects

The term addressing domestic violence, sexual
assault, or stalking and their effects means—

(A)

seeking medical attention for or recovering
from injuries caused by domestic violence, sexual assault, or stalking;

(B)

seeking legal assistance or remedies,
including communicating with the police or an attorney, or participating in any
legal proceeding related to domestic violence, sexual assault, or
stalking;

(C)

attending support groups for victims of
domestic violence, sexual assault, or stalking;

participating in safety planning and other
actions to increase safety from future domestic violence, sexual assault, or
stalking, including temporary or permanent relocation; and

(F)

participating in any other activity
necessitated by domestic violence, sexual assault, or stalking which must be
undertaken during hours of employment.

(25)

Family
member

The term family member, used with respect to
a person, means an individual who is a spouse, domestic partner, parent, son or
daughter (including an adult son or daughter) of that
person.

.

(c)

Intermittent or
Reduced Leave

Section
102(b)(1) of the Family and Medical Leave Act of 1993 (29 U.S.C. 2612(b)(1))
(as amended by section 193(b)) is further amended by inserting before the last
sentence: Subject to subsection (e)(4) and 103(g), leave under
subparagraph (F) or (G) of subsection (a)(1) may be taken by an employee
intermittently or on a reduced leave schedule. .

(d)

Paid
Leave

Section 102(d)(2)(B) of
the Family and Medical Leave Act of 1993 (29 U.S.C. 2612(d)(2)(B)) is amended
by inserting at the end the following: An eligible employee may elect to
substitute any of the accrued paid vacation leave, personal leave, family
leave, or medical or sick leave of the employee for leave provided under
subparagraph (F) or (G) of subsection (a)(1) for any part of the 12-week period
of such leave under such subsection, except that nothing in this title shall
require an employer to provide paid sick leave or paid medical leave in any
situation in which such employer would not normally provide any such paid
leave..

(e)

Notice

Section 102(e) of the Family and Medical
Leave Act of 1993 (29 U.S.C. 2612(e)) (as amended by section 193(d)), is
further amended by adding at the end the following:

(5)

Notice for leave
due to domestic violence, sexual assault, or stalking

In any case in which the necessity for
leave under subparagraph (F) or (G) of subsection (a)(1) is foreseeable based
on a scheduled appointment or planned activity to address domestic violence,
sexual assault, or stalking and their effects, the employee shall provide such
notice to the employer as is reasonable and
practicable.

.

(f)

Certification
and Confidentiality

Section
103 of the Family and Medical Leave Act of 1993 (29 U.S.C. 2613) (as amended by
section 193(e)) is further amended—

(1)

in the title, by
adding before the period the following: ; confidentiality; and

In determining if an
employee meets the requirements of subparagraph (F) or (G) of section
102(a)(1), the employer of an employee may require the employee to provide
written certification. Certification under this paragraph shall be sufficient
if it includes—

(A)

documentation of the domestic violence,
sexual assault, or stalking, such as police or court records, or documentation
of the domestic violence, sexual assault, or stalking from a shelter worker,
attorney, clergy, or medical or other professional from whom the employee or
family member of the employee has sought assistance in addressing domestic
violence, sexual assault, or stalking and their effects;

(B)

other corroborating evidence, such as a
statement from any other individual with knowledge of the circumstances which
provide the basis for the claim, or physical evidence of domestic violence,
sexual assault, or stalking, such as photographs, or torn or bloody clothes;
or

(C)

at the election of the employee, where
documentation described in subparagraph (A) and corroborating evidence
described in subparagraph (B) is not available, a written statement describing
the domestic violence, sexual assault, or stalking and their effects.

(2)

Confidentiality

All evidence of domestic violence, sexual
assault, or stalking provided to an employer under this subsection, including
an employee’s statement, any corroborating evidence, and the fact that an
employee has requested leave for the purpose of addressing domestic violence,
sexual assault, or stalking and their effects, shall be retained in the
strictest confidence by the employer, except to the extent consented to by the
employee where disclosure is necessary to—

(A)

protect the safety
of the employee or family member of the employee; or

(B)

assist in documenting domestic violence,
sexual assault, or stalking for a court or law enforcement
agency.

.

(g)

Table of
contents

The table of contents in section 1(b) of the Family and
Medical Leave Act of 1993 (29 U.S.C. prec. 2601) is amended by striking the
item relating to section 103 and inserting the following:

103. Certification;
confidentiality.

.

163.

Inclusion of
same-sex spouses and domestic partners

(a)

Definitions

(1)

Inclusion of
same-sex spouses

Section
101(13) of the Family and Medical Leave Act of 1993 (29 U.S.C. 2611(13)) is
amended, by inserting , and, notwithstanding section 7 of title I,
United States Code, includes a spouse of the same sex as the employee as
determined under applicable State law before the period.

(2)

Inclusion
children of a domestic partner

Section 101(12) of such Act (29 U.S.C.
2611(12)) is amended by inserting a child of an individual’s domestic
partner, after a legal ward,.

(3)

Inclusion
domestic partners

Section 101 of such Act (as amended by section
162) is further amended by adding at the end the following:

(25)

Domestic
partner

The term
domestic partner means—

(A)

the person
recognized as the domestic partner of the employee under any domestic partner
registry or civil union laws of the State or political subdivision of a State
where the employee resides; or

(B)

in the case of an
unmarried employee who resides in a State where a person cannot marry a person
of the same sex under the laws of the State, a single, unmarried adult person
of the same sex as the employee who is in a committed, intimate relationship
with the employee, is not a domestic partner to any other person, and who is
designated to the employer by such employee as that employee’s domestic
partner.

.

(b)

Leave
Requirement

Section 102 of the Family and Medical Leave Act of
1993 (29 U.S.C. 2612) is amended—

(1)

in subsection
(a)(1)(C), by striking spouse, both places it appears and
inserting spouse or domestic partner,;

(2)

in subsection
(a)(1)(E), by striking spouse, and inserting spouse or domestic
partner,;

(3)

in subsection
(a)(3), by striking spouse, and inserting spouse or
domestic partner,;

(4)

in subsection (e)(2)(A), by inserting
domestic partner, after spouse,;

(5)

in subsection (e)(3), by inserting
domestic partner, after spouse,; and

(6)

in subsection
(f)—

(A)

in the subsection
heading, by inserting or
domestic partners after spouses;

(B)

in paragraph (1),
by striking a husband and wife and inserting both spouses
or both domestic partners;

(C)

in paragraph
(2)(A), by striking that husband and wife and inserting
spouses or both domestic partners; and

(D)

in paragraph
(2)(B), by striking the husband and wife and inserting
both spouses or both domestic partners.

(c)

Certification

Section
103 of the Family and Medical Leave Act of 1993 (29 U.S.C. 2613) is
amended—

(1)

in subsection (a), by inserting
domestic partner, after spouse,;

(2)

in subsection (b)(4)(A), by inserting
domestic partner, after spouse, both places it
appears; and

(3)

in subsection (b)(7), by inserting
domestic partner, after spouse,.

(d)

Employment and
Benefits Protection

Section 104(c)(3) of the Family and Medical
Leave Act of 1993 (29 U.S.C. 2614(c)(3)) is amended—

(1)

in subparagraph (A)(i), by inserting
domestic partner, after spouse,; and

(2)

in subparagraph (C)(ii), by inserting
domestic partner, after spouse,.

164.

Entitlement to
leave for Federal employees for domestic violence, sexual assault, or
stalking

(a)

Authority for
Leave

Section 6382(a)(1) of title 5, United States Code is
amended by adding at the end the following:

(F)

In
order to care for the family member of the employee, if such family member is
addressing domestic violence, sexual assault, or stalking and their
effects.

(G)

Because the employee is addressing domestic
violence, sexual assault, or stalking and their effects, the employee is unable
to perform any of the functions of the position of such
employee.

.

(b)

Definitions

Section 6381 of title 5, United States Code
(as amended by section 154(f)) is amended—

(1)

at the end of
paragraph (10), by striking and;

(2)

in paragraph (11),
by striking the period and inserting a semicolon; and

(3)

by adding at the
end the following:

(14)

the terms domestic violence,
sexual assault, and stalking all have the meaning
given such terms in section 40002 of the Violence Against Women Act of 1994 (42
U.S.C. 13925), and the term domestic violence includes dating
violence, as such term is defined in such section;

(15)

the term
addressing domestic violence, sexual assault, or stalking and their
effects means—

(A)

seeking medical attention for or recovering
from injuries caused by domestic violence, sexual assault, or stalking;

(B)

seeking legal assistance or remedies,
including communicating with the police or an attorney, or participating in any
legal proceeding related to domestic violence, sexual assault, or
stalking;

(C)

attending support groups for victims of
domestic violence, sexual assault, or stalking;

participating in safety planning and other
actions to increase safety from future domestic violence, sexual assault, or
stalking, including temporary or permanent relocation; and

(F)

participating in any other activity
necessitated by domestic violence, sexual assault, or stalking which must be
undertaken during hours of employment; and

(16)

the term
family member, used with respect to a person, means an individual
who is a spouse, domestic partner, parent, son or daughter (including an adult
son or daughter) of that
person;

.

(c)

Intermittent or
Reduced Leave

Section 6382(b) of title 5, United States Code, (as
amended by section 154(b)) is further amended by adding at the end the
following:

(3)

Leave under
subparagraph (E) or (F) of subsection (a)(1) may be taken by an employee
intermittently or on a reduced leave schedule. The taking of leave
intermittently or on a reduced leave schedule pursuant to this paragraph shall
not result in a reduction in the total amount of leave to which the employee is
entitled under subsection (a) beyond the amount of leave actually
taken.

.

(d)

Other
Leave

Section 6382(d) of title 5, United States Code, (as amended
by section 154(c)) is further amended by striking (C), or (D)
and inserting (C), (D), (E), or (F).

(e)

Notice

Section
6282(e) of title 5, United States Code, is amended by adding at the end the
following:

(3)

In any case in which the necessity for
leave under subparagraph (F) or (G) of subsection (a)(1) is foreseeable based
on a scheduled appointment or planned activity to address domestic violence,
sexual assault, or stalking and their effects, the employee shall provide such
notice to the employing agency as is reasonable and
practicable.

.

(f)

Certification

Section
6383 of title 5, United States Code, is amended by adding at the end the
following:

(f)

In determining if an employee meets the
requirements of subparagraph (E) or (F) of section 6382(a)(1), the employing
agency of an employee may require the employee to provide written
certification. Certification under this subsection shall be sufficient if it
includes—

(1)

documentation of the domestic violence,
sexual assault, or stalking, such as police or court records, or documentation
of the domestic violence, sexual assault, or stalking from a shelter worker,
attorney, clergy, or medical or other professional from whom the employee or
family member of the employee has sought assistance in addressing domestic
violence, sexual assault, or stalking and their effects;

(2)

other corroborating evidence, such as a
statement from any other individual with knowledge of the circumstances which
provide the basis for the claim, or physical evidence of domestic violence,
sexual assault, or stalking, such as photographs or torn or bloody clothes;
or

(3)

at the election of
the employee, where documentation described in paragraph (1) and corroborating
evidence described in paragraph (2) is not available, a written statement
describing the domestic violence, sexual assault, or stalking and their
effects.

.

(g)

Confidentiality

Section
6383 of title 5, United States Code, as amended by subsection (f), is
amended—

(1)

in the section
heading, by adding before the period the following: ; confidentiality;
and

(2)

by adding at the
end the following:

(g)

All evidence of domestic violence, sexual
assault, or stalking provided to an employing agency under this subsection,
including an employee’s statement, any corroborating evidence, and the fact
that an employee has requested leave for the purpose of addressing domestic
violence, sexual assault, or stalking and their effects, shall be retained in
the strictest confidence by the employing agency, except to the extent
consented to by the employee where disclosure is necessary to—

(1)

protect the safety
of the employee or family member of the employee; or

(2)

assist in documenting domestic violence,
sexual assault, or stalking for a court or law enforcement
agency.

.

(h)

Table of
Sections

The table of sections for chapter 63 of title 5, United
States Code, is amended by striking the item relating to section 6383 and
inserting the following:

6383. Certification;
confidentiality.

.

165.

Inclusion of
same-sex spouses and domestic partners for leave for Federal employees

(a)

Definitions

Section 6381 of title 5, United States
Code, (as amended by section 164) is further amended—

(1)

in paragraph (6), by inserting a
child of an individual’s domestic partner, after a legal
ward,; and

(2)

by adding at the
end the following:

(17)

the term spouse means a
husband or wife, as the case may be, and, notwithstanding section 7 of title I,
United States Code, includes a spouse of the same sex as the employee as
determined under applicable State law; and

(18)

the term
domestic partner means—

(A)

the person
recognized as the domestic partner of the employee under any domestic partner
registry or civil union laws of the State or political subdivision of a State
where the employee resides; or

(B)

in the case of an
unmarried employee who resides in a State where a person cannot marry a person
of the same sex under the laws of the State, a single, unmarried adult person
of the same sex as the employee who is in a committed, intimate relationship
with the employee, is not a domestic partner to any other person, and who is
designated to the employing agency by such employee as that employee’s domestic
partner.

.

(b)

Leave
requirement

Section 6382 of
title 5, United States Code, is further amended—

(1)

in subsection
(a)(1)(C), by striking spouse, both places it appears and
inserting spouse or domestic partner,;

(2)

in subsection
(a)(3), by striking spouse, and inserting spouse or
domestic partner,; and

(3)

in subsection (e)(2)(A), by inserting
domestic partner, after spouse,.

(c)

Certification

Section
6383 of title 5, United States Code, is further amended—

(1)

in subsection (a), by inserting
domestic partner, after spouse,; and

(2)

in subsection (b)(4)(A), by inserting
domestic partner, after spouse, both places it
appears.

D

Healthy Families
Act

171.

Short
title

This subtitle may be
cited as the Healthy Families
Act.

172.

Purposes

The purposes of this subtitle are—

(1)

to ensure that all working Americans can
address their own health needs and the health needs of their families by
requiring employers to permit employees to earn up to 56 hours of paid sick
time including paid time for family care;

(2)

to diminish public and private health care
costs by enabling workers to seek early and routine medical care for themselves
and their family members;

(3)

to assist
employees who are, or whose family members are, victims of domestic violence,
sexual assault, or stalking, by providing the employees with paid time away
from work to allow the victims to receive treatment and to take the necessary
steps to ensure their protection;

(4)

to accomplish the purposes described in
paragraphs (1) through (3) in a manner that is feasible for employers;
and

(5)

consistent with the provision of the 14th
amendment to the Constitution relating to equal protection of the laws, and
pursuant to Congress' power to enforce that provision under section 5 of that
amendment—

(A)

to accomplish the purposes described in
paragraphs (1) through (3) in a manner that minimizes the potential for
employment discrimination on the basis of sex by ensuring generally that paid
sick time is available for eligible medical reasons on a gender-neutral basis;
and

(B)

to promote the goal of equal employment
opportunity for women and men.

173.

Definitions

In this subtitle:

(1)

Child

The term child means a
biological, foster, or adopted child, a stepchild, a legal ward, or a child of
a person standing in loco parentis, who is—

(A)

under 18 years of age; or

(B)

18 years of age or older and incapable of
self-care because of a mental or physical disability.

(2)

Domestic
violence

The term domestic violence has the meaning
given the term in section 40002(a) of the Violence Against Women Act of 1994
(42 U.S.C. 13925(a)), except that the reference in such section to the term
jurisdiction receiving grant monies shall be deemed to mean the
jurisdiction in which the victim lives or the jurisdiction in which the
employer involved is located.

(3)

Employee

The term employee means an
individual who is—

(A)(i)

an employee, as defined in section 3(e) of
the Fair Labor Standards Act of 1938 (29 U.S.C. 203(e)), who is not covered
under subparagraph (E), including such an employee of the Library of Congress,
except that a reference in such section to an employer shall be considered to
be a reference to an employer described in clauses (i)(I) and (ii) of paragraph
(4)(A); or

(ii)

an employee of the Government
Accountability Office;

(B)

a State employee described in section
304(a) of the Government Employee Rights Act of 1991 (42 U.S.C.
2000e–16c(a));

(C)

a covered employee, as defined in section
101 of the Congressional Accountability Act of 1995 (2 U.S.C. 1301), other than
an applicant for employment;

(D)

a covered employee, as defined in section
411(c) of title 3, United States Code; or

(E)

a Federal officer or employee covered under
subchapter V of chapter 63 of title 5, United States Code.

(4)

Employer

(A)

In
general

The term
employer means a person who is—

(i)(I)

a covered employer, as defined in
subparagraph (B), who is not covered under subclause (V);

(II)

an entity employing a State employee
described in section 304(a) of the Government Employee Rights Act of
1991;

(III)

an employing office, as defined in section
101 of the Congressional Accountability Act of 1995;

(IV)

an employing office, as defined in section
411(c) of title 3, United States Code; or

(V)

an employing agency covered under
subchapter V of chapter 63 of title 5, United States Code; and

(ii)

is engaged in commerce (including
government), or an industry or activity affecting commerce (including
government), as defined in subparagraph (B)(iii).

(B)

Covered
employer

(i)

In
general

In subparagraph
(A)(i)(I), the term covered employer—

(I)

means any person engaged in commerce or in
any industry or activity affecting commerce who employs 15 or more employees
for each working day during each of 20 or more calendar workweeks in the
current or preceding calendar year;

(II)

includes—

(aa)

any person who acts, directly or
indirectly, in the interest of an employer to any of the employees of such
employer; and

(bb)

any successor in interest of an
employer;

(III)

includes any public agency,
as defined in section 3(x) of the Fair Labor Standards Act of 1938 (29 U.S.C.
203(x)); and

(IV)

includes the Government Accountability
Office and the Library of Congress.

(ii)

Public
agency

For purposes of clause
(i)(III), a public agency shall be considered to be a person engaged in
commerce or in an industry or activity affecting commerce.

(iii)

Definitions

For purposes of this subparagraph:

(I)

Commerce

The terms commerce and
industry or activity affecting commerce mean any activity,
business, or industry in commerce or in which a labor dispute would hinder or
obstruct commerce or the free flow of commerce, and include
commerce and any industry affecting commerce, as
defined in paragraphs (1) and (3) of section 501 of the Labor Management
Relations Act, 1947 (29 U.S.C. 142 (1) and (3)).

(II)

Employee

The term employee has the same
meaning given such term in section 3(e) of the Fair Labor Standards Act of 1938
(29 U.S.C. 203(e)).

(III)

Person

The term person has the same
meaning given such term in section 3(a) of the Fair Labor Standards Act of 1938
(29 U.S.C. 203(a)).

(C)

Predecessors

Any reference in this paragraph to an
employer shall include a reference to any predecessor of such employer.

(5)

Employment
benefits

The term
employment benefits means all benefits provided or made available
to employees by an employer, including group life insurance, health insurance,
disability insurance, sick leave, annual leave, educational benefits, and
pensions, regardless of whether such benefits are provided by a practice or
written policy of an employer or through an employee benefit
plan, as defined in section 3(3) of the Employee Retirement Income Security Act of
1974 (29 U.S.C. 1002(3)).

(6)

Health care
provider

The term
health care provider means a provider who—

(A)(i)

is a doctor of medicine or osteopathy who
is authorized to practice medicine or surgery (as appropriate) by the State in
which the doctor practices; or

(ii)

is any other person determined by the
Secretary to be capable of providing health care services; and

(B)

is not employed by an employer for whom the
provider issues certification under this subtitle.

(7)

Paid sick
time

The term paid sick
time means an increment of compensated leave that can be earned by an
employee for use during an absence from employment for any of the reasons
described in paragraphs (1) through (4) of section 5(b).

(8)

Parent

The term parent means a
biological, foster, or adoptive parent of an employee, a stepparent of an
employee, or a legal guardian or other person who stood in loco parentis to an
employee when the employee was a child.

(9)

Secretary

The term Secretary means the
Secretary of Labor.

(10)

Sexual
assault

The term sexual assault has the meaning
given the term in section 40002(a) of the Violence Against Women Act of 1994
(42 U.S.C. 13925(a)).

(11)

Spouse

The term spouse, with respect
to an employee, has the meaning given such term by the marriage laws of the
State in which the employee resides.

(12)

Stalking

The
term stalking has the meaning given the term in section 40002(a)
of the Violence Against Women Act of 1994 (42 U.S.C. 13925(a)).

(13)

Victim services
organization

The term victim services organization
means a nonprofit, nongovernmental organization that provides assistance to
victims of domestic violence, sexual assault, or stalking or advocates for such
victims, including a rape crisis center, an organization carrying out a
domestic violence, sexual assault, or stalking prevention or treatment program,
an organization operating a shelter or providing counseling services, or a
legal services organization or other organization providing assistance through
the legal process.

174.

Provision of paid
sick time

(a)

Accrual of paid
sick time

(1)

In
general

An employer shall permit each employee employed by the
employer to earn not less than 1 hour of paid sick time for every 30 hours
worked, to be used as described in subsection (b). An employer shall not be
required to permit an employee to earn, under this section, more than 56 hours
of paid sick time in a calendar year, unless the employer chooses to set a
higher limit.

(2)

Exempt
employees

(A)

In
general

Except as provided in paragraph (3), for purposes of this
section, an employee who is exempt from overtime requirements under section
13(a)(1) of the Fair Labor Standards Act of 1938 (29 U.S.C. 213(a)(1)) shall be
assumed to work 40 hours in each workweek.

(B)

Shorter normal
workweek

If the normal workweek of such an employee is less than
40 hours, the employee shall earn paid sick time based upon that normal work
week.

(3)

Dates of accrual
and use

Employees shall begin to earn paid sick time under this
section at the commencement of their employment. An employee shall be entitled
to use the earned paid sick time beginning on the 60th calendar day following
commencement of the employee's employment. After that 60th calendar day, the
employee may use the paid sick time as the time is earned. An employer may, at
the discretion of the employer, loan paid sick time to an employee in advance
of the earning of such time under this section by such employee.

(4)

Carryover

(A)

In
general

Except as provided in subparagraph (B), paid sick time
earned under this section shall carry over from 1 calendar year to the
next.

(B)

Construction

This
subtitle shall not be construed to require an employer to permit an employee to
accrue more than 56 hours of earned paid sick time at a given time.

(5)

Employers with
existing policies

Any employer with a paid leave policy who makes
available an amount of paid leave that is sufficient to meet the requirements
of this section and that may be used for the same purposes and under the same
conditions as the purposes and conditions outlined in subsection (b) shall not
be required to permit an employee to earn additional paid sick time under this
section.

(6)

Construction

Nothing
in this section shall be construed as requiring financial or other
reimbursement to an employee from an employer upon the employee’s termination,
resignation, retirement, or other separation from employment for earned paid
sick time that has not been used.

(7)

Reinstatement

If
an employee is separated from employment with an employer and is rehired,
within 12 months after that separation, by the same employer, the employer
shall reinstate the employee's previously earned paid sick time. The employee
shall be entitled to use the earned paid sick time and earn additional paid
sick time at the recommencement of employment with the employer.

(8)

Prohibition

An
employer may not require, as a condition of providing paid sick time under this
subtitle, that the employee involved search for or find a replacement worker to
cover the hours during which the employee is using paid sick time.

(b)

Uses

Paid sick time earned under this section
may be used by an employee for any of the following:

(1)

An absence resulting from a physical or
mental illness, injury, or medical condition of the employee.

(2)

An absence resulting from obtaining
professional medical diagnosis or care, or preventive medical care, for the
employee.

(3)

An absence for the purpose of caring for a
child, a parent, a spouse, or any other individual related by blood or affinity
whose close association with the employee is the equivalent of a family
relationship, who—

(A)

has any of the conditions or needs for
diagnosis or care described in paragraph (1) or (2); and

(B)

in the case of someone who is not a child,
is otherwise in need of care.

(4)

An absence
resulting from domestic violence, sexual assault, or stalking, if the time is
to—

(A)

seek medical
attention for the employee or the employee’s child, parent, or spouse, or an
individual related to the employee as described in paragraph (3), to recover
from physical or psychological injury or disability caused by domestic
violence, sexual assault, or stalking;

(B)

obtain or assist a
related person described in paragraph (3) in obtaining services from a victim
services organization;

(C)

obtain or assist a
related person described in paragraph (3) in obtaining psychological or other
counseling;

(D)

seek relocation;
or

(E)

take legal action,
including preparing for or participating in any civil or criminal legal
proceeding related to or resulting from domestic violence, sexual assault, or
stalking.

(c)

Scheduling

An employee shall make a reasonable effort
to schedule a period of paid sick time under this subtitle in a manner that
does not unduly disrupt the operations of the employer.

(d)

Procedures

(1)

In
general

Paid sick time shall
be provided upon the oral or written request of an employee. Such request
shall—

(A)

include the expected duration of the period
of such time;

(B)

in a case in which the need for such period
of time is foreseeable at least 7 days in advance of such period, be provided
at least 7 days in advance of such period; and

(C)

otherwise, be provided as soon as
practicable after the employee is aware of the need for such period.

(2)

Certification in
general

(A)

Provision

(i)

In
general

Subject to
subparagraph (C), an employer may require that a request for paid sick time
under this section for a purpose described in paragraph (1), (2), or (3) of
subsection (b) be supported by a certification issued by the health care
provider of the eligible employee or of an individual described in subsection
(b)(3), as appropriate, if the period of such time covers more than 3
consecutive workdays.

(ii)

Timeliness

The employee shall provide a copy of such
certification to the employer in a timely manner, not later than 30 days after
the first day of the period of time. The employer shall not delay the
commencement of the period of time on the basis that the employer has not yet
received the certification.

(B)

Sufficient
certification

(i)

In
general

A certification
provided under subparagraph (A) shall be sufficient if it states—

(I)

the date on which the period of time will
be needed;

(II)

the probable duration of the period of
time;

(III)

the appropriate medical facts within the
knowledge of the health care provider regarding the condition involved, subject
to clause (ii); and

(IV)(aa)

for purposes of paid sick time under
subsection (b)(1), a statement that absence from work is medically
necessary;

(bb)

for purposes of such time under subsection
(b)(2), the dates on which testing for a medical diagnosis or care is expected
to be given and the duration of such testing or care; and

(cc)

for purposes of such time under subsection
(b)(3), in the case of time to care for someone who is not a child, a statement
that care is needed for an individual described in such subsection, and an
estimate of the amount of time that such care is needed for such
individual.

(ii)

Limitation

In issuing a certification under
subparagraph (A), a health care provider shall make reasonable efforts to limit
the medical facts described in clause (i)(III) that are disclosed in the
certification to the minimum necessary to establish a need for the employee to
utilize paid sick time.

(C)

Regulations

Regulations prescribed under section 182
shall specify the manner in which an employee who does not have health
insurance shall provide a certification for purposes of this paragraph.

(D)

Confidentiality
and nondisclosure

(i)

Protected health
information

Nothing in this
subtitle shall be construed to require a health care provider to disclose
information in violation of section 1177 of the Social Security Act (42 U.S.C. 1320d–6) or the
regulations promulgated pursuant to section 264(c) of the Health Insurance
Portability and Accountability Act of 1996 (42 U.S.C. 1320d–2 note).

(ii)

Health
information records

If an
employer possesses health information about an employee or an employee’s child,
parent, spouse or other individual described in subsection (b)(3), such
information shall—

(I)

be maintained on a separate form and in a
separate file from other personnel information;

(II)

be treated as a confidential medical
record; and

(III)

not be disclosed except to the affected
employee or with the permission of the affected employee.

(3)

Certification in
the case of domestic violence, sexual assault, or stalking

(A)

In
general

An employer may require that a request for paid sick time
under this section for a purpose described in subsection (b)(4) be supported by
1 of the following forms of documentation:

(i)

A police report
indicating that the employee, or a member of the employee's family described in
subsection (b)(4), was a victim of domestic violence, sexual assault, or
stalking.

(ii)

A court order
protecting or separating the employee or a member of the employee's family
described in subsection (b)(4) from the perpetrator of an act of domestic
violence, sexual assault, or stalking, or other evidence from the court or
prosecuting attorney that the employee or a member of the employee's family
described in subsection (b)(4) has appeared in court or is scheduled to appear
in court in a proceeding related to domestic violence, sexual assault, or
stalking.

(iii)

Other
documentation signed by an employee or volunteer working for a victim services
organization, an attorney, a police officer, a medical professional, a social
worker, an antiviolence counselor, or a member of the clergy, affirming that
the employee or a member of the employee's family described in subsection
(b)(4) is a victim of domestic violence, sexual assault, or stalking.

(B)

Requirements

The
requirements of paragraph (2) shall apply to certifications under this
paragraph, except that—

(i)

subclauses (III)
and (IV) of subparagraph (B)(i) and subparagraph (B)(ii) of such paragraph
shall not apply;

(ii)

the certification
shall state the reason that the leave is required with the facts to be
disclosed limited to the minimum necessary to establish a need for the employee
to be absent from work, and the employee shall not be required to explain the
details of the domestic violence, sexual assault, or stalking involved;
and

(iii)

with respect to
confidentiality under subparagraph (D) of such paragraph, any information
provided to the employer under this paragraph shall be confidential, except to
the extent that any disclosure of such information is—

(I)

requested or
consented to in writing by the employee; or

(II)

otherwise
required by applicable Federal or State law.

175.

Posting
requirement

(a)

In
general

Each employer shall
post and keep posted a notice, to be prepared or approved in accordance with
procedures specified in regulations prescribed under section 182, setting forth
excerpts from, or summaries of, the pertinent provisions of this subtitle
including—

(1)

information describing paid sick time
available to employees under this subtitle;

(2)

information pertaining to the filing of an
action under this subtitle;

(3)

the details of the notice requirement for a
foreseeable period of time under section 174(d)(1)(B); and

(4)

information that describes—

(A)

the protections that an employee has in
exercising rights under this subtitle; and

(B)

how the employee can contact the Secretary
(or other appropriate authority as described in section 177) if any of the
rights are violated.

(b)

Location

The notice described under subsection (a)
shall be posted—

(1)

in conspicuous places on the premises of
the employer, where notices to employees (including applicants) are customarily
posted; or

(2)

in employee handbooks.

(c)

Violation;
penalty

Any employer who
willfully violates the posting requirements of this section shall be subject to
a civil fine in an amount not to exceed $100 for each separate offense.

176.

Prohibited
acts

(a)

Interference
with rights

(1)

Exercise of
rights

It shall be unlawful
for any employer to interfere with, restrain, or deny the exercise of, or the
attempt to exercise, any right provided under this subtitle, including—

(A)

discharging or
discriminating against (including retaliating against) any individual,
including a job applicant, for exercising, or attempting to exercise, any right
provided under this subtitle;

(B)

using the taking
of paid sick time under this subtitle as a negative factor in an employment
action, such as hiring, promotion, or a disciplinary action; or

(C)

counting the paid
sick time under a no-fault attendance policy or any other absence control
policy.

(2)

Discrimination

It shall be unlawful for any employer to
discharge or in any other manner discriminate against (including retaliating
against) any individual, including a job applicant, for opposing any practice
made unlawful by this subtitle.

(b)

Interference
with proceedings or inquiries

It shall be unlawful for any person to
discharge or in any other manner discriminate against (including retaliating
against) any individual, including a job applicant, because such
individual—

(1)

has filed an action, or has instituted or
caused to be instituted any proceeding, under or related to this
subtitle;

(2)

has given, or is about to give, any
information in connection with any inquiry or proceeding relating to any right
provided under this subtitle; or

(3)

has testified, or is about to testify, in
any inquiry or proceeding relating to any right provided under this
subtitle.

(c)

Construction

Nothing in this section shall be construed
to state or imply that the scope of the activities prohibited by section 105 of
the Family and Medical Leave Act of 1993 (29 U.S.C. 2615) is less than the
scope of the activities prohibited by this section.

177.

Enforcement
authority

(a)

In
general

(1)

Definitions

In this subsection:

(A)

the term employee means an
employee described in subparagraph (A) or (B) of section 173(3); and

(B)

the term employer means an
employer described in subclause (I) or (II) of section 173(4)(A)(i).

(2)

Investigative
authority

(A)

In
general

To ensure compliance
with the provisions of this subtitle, or any regulation or order issued under
this subtitle, the Secretary shall have, subject to subparagraph (C), the
investigative authority provided under section 11(a) of the Fair Labor
Standards Act of 1938 (29 U.S.C. 211(a)), with respect to employers, employees,
and other individuals affected.

(B)

Obligation to
keep and preserve records

An
employer shall make, keep, and preserve records pertaining to compliance with
this subtitle in accordance with section 11(c) of the Fair Labor Standards Act
of 1938 (29 U.S.C. 211(c)) and in accordance with regulations prescribed by the
Secretary.

(C)

Required
submissions generally limited to an annual basis

The Secretary shall not require, under the
authority of this paragraph, an employer to submit to the Secretary any books
or records more than once during any 12-month period, unless the Secretary has
reasonable cause to believe there may exist a violation of this subtitle or any
regulation or order issued pursuant to this subtitle, or is investigating a
charge pursuant to paragraph (4).

(D)

Subpoena
authority

For the purposes of
any investigation provided for in this paragraph, the Secretary shall have the
subpoena authority provided for under section 9 of the Fair Labor Standards Act
of 1938 (29 U.S.C. 209).

(3)

Civil action by
employees or individuals

(A)

Right of
action

An action to recover
the damages or equitable relief prescribed in subparagraph (B) may be
maintained against any employer in any Federal or State court of competent
jurisdiction by one or more employees or individuals or their representative
for and on behalf of—

(i)

the employees or individuals; or

(ii)

the employees or individuals and others
similarly situated.

(B)

Liability

Any employer who violates section 176
(including a violation relating to rights provided under section 174) shall be
liable to any employee or individual affected—

(i)

for damages equal to—

(I)

the amount of—

(aa)

any wages, salary, employment benefits, or
other compensation denied or lost by reason of the violation; or

(bb)

in a case in which wages, salary,
employment benefits, or other compensation have not been denied or lost, any
actual monetary losses sustained as a direct result of the violation up to a
sum equal to 56 hours of wages or salary for the employee or individual;

(II)

the interest on the amount described in
subclause (I) calculated at the prevailing rate; and

(III)

an additional amount as liquidated damages;
and

(ii)

for such equitable relief as may be
appropriate, including employment, reinstatement, and promotion.

(C)

Fees and
costs

The court in an action
under this paragraph shall, in addition to any judgment awarded to the
plaintiff, allow a reasonable attorney’s fee, reasonable expert witness fees,
and other costs of the action to be paid by the defendant.

(4)

Action by the
Secretary

(A)

Administrative
action

The Secretary shall
receive, investigate, and attempt to resolve complaints of violations of
section 176 (including a violation relating to rights provided under section
174) in the same manner that the Secretary receives, investigates, and attempts
to resolve complaints of violations of sections 6 and 7 of the Fair Labor
Standards Act of 1938 (29 U.S.C. 206 and 207).

(B)

Civil
action

The Secretary may
bring an action in any court of competent jurisdiction to recover the damages
described in paragraph (3)(B)(i).

(C)

Sums
recovered

Any sums recovered
by the Secretary pursuant to subparagraph (B) shall be held in a special
deposit account and shall be paid, on order of the Secretary, directly to each
employee or individual affected. Any such sums not paid to an employee or
individual affected because of inability to do so within a period of 3 years
shall be deposited into the Treasury of the United States as miscellaneous
receipts.

(5)

Limitation

(A)

In
general

Except as provided in
subparagraph (B), an action may be brought under paragraph (3), (4), or (6) not
later than 2 years after the date of the last event constituting the alleged
violation for which the action is brought.

(B)

Willful
violation

In the case of an
action brought for a willful violation of section 176 (including a willful
violation relating to rights provided under section 174), such action may be
brought within 3 years of the date of the last event constituting the alleged
violation for which such action is brought.

(C)

Commencement

In determining when an action is commenced
under paragraph (3), (4), or (6) for the purposes of this paragraph, it shall
be considered to be commenced on the date when the complaint is filed.

(6)

Action for
injunction by Secretary

The
district courts of the United States shall have jurisdiction, for cause shown,
in an action brought by the Secretary—

(A)

to restrain violations of section 176
(including a violation relating to rights provided under section 174),
including the restraint of any withholding of payment of wages, salary,
employment benefits, or other compensation, plus interest, found by the court
to be due to employees or individuals eligible under this subtitle; or

(B)

to award such other equitable relief as may
be appropriate, including employment, reinstatement, and promotion.

(7)

Solicitor of
Labor

The Solicitor of Labor
may appear for and represent the Secretary on any litigation brought under
paragraph (4) or (6).

(8)

Government
Accountability Office and Library of Congress

Notwithstanding any other provision of this
subsection, in the case of the Government Accountability Office and the Library
of Congress, the authority of the Secretary of Labor under this subsection
shall be exercised respectively by the Comptroller General of the United States
and the Librarian of Congress.

(b)

Employees
covered by Congressional Accountability Act of 1995

The powers, remedies, and procedures
provided in the Congressional Accountability Act of 1995 (2 U.S.C. 1301 et
seq.) to the Board (as defined in section 101 of that Act (2 U.S.C. 1301)), or
any person, alleging a violation of section 202(a)(1) of that Act (2 U.S.C.
1312(a)(1)) shall be the powers, remedies, and procedures this subtitle
provides to that Board, or any person, alleging an unlawful employment practice
in violation of this subtitle against an employee described in section
173(3)(C).

(c)

Employees
covered by chapter 5 of title
3, United States Code

The powers, remedies, and procedures
provided in chapter 5 of title 3, United States Code, to the President, the
Merit Systems Protection Board, or any person, alleging a violation of section
412(a)(1) of that title, shall be the powers, remedies, and procedures this
subtitle provides to the President, that Board, or any person, respectively,
alleging an unlawful employment practice in violation of this subtitle against
an employee described in section 173(3)(D).

(d)

Employees
covered by chapter 63 of title
5, United States Code

The powers, remedies, and procedures
provided in title 5, United States Code, to an employing agency, provided in
chapter 12 of that title to the Merit Systems Protection Board, or provided in
that title to any person, alleging a violation of chapter 63 of that title,
shall be the powers, remedies, and procedures this subtitle provides to that
agency, that Board, or any person, respectively, alleging an unlawful
employment practice in violation of this subtitle against an employee described
in section 173(3)(E).

(e)

Remedies for
State employees

(1)

Waiver of
sovereign immunity

A State's receipt or use of Federal financial
assistance for any program or activity of a State shall constitute a waiver of
sovereign immunity, under the 11th amendment to the Constitution or otherwise,
to a suit brought by an employee of that program or activity under this
subtitle for equitable, legal, or other relief authorized under this
subtitle.

(2)

Official
capacity

An official of a State may be sued in the official
capacity of the official by any employee who has complied with the procedures
under subsection (a)(3), for injunctive relief that is authorized under this
subtitle. In such a suit the court may award to the prevailing party those
costs authorized by section 722 of the Revised Statutes (42 U.S.C.
1988).

(3)

Applicability

With
respect to a particular program or activity, paragraph (1) applies to conduct
occurring on or after the day, after the date of enactment of this subtitle, on
which a State first receives or uses Federal financial assistance for that
program or activity.

(4)

Definition of
program or activity

In this subsection, the term program or
activity has the meaning given the term in section 606 of the Civil
Rights Act of 1964 (42 U.S.C. 2000d–4a).

178.

Collection of
data on paid sick time and further study

(a)

Compilation of
information

Effective 90 days after the date of enactment of this
subtitle, the Commissioner of Labor Statistics shall annually compile
information on the following:

(1)

The number of
employees who used paid sick time.

(2)

The number of
hours of paid sick time used.

(3)

The number of
employees who used paid sick time for absences necessary due to domestic
violence, sexual assault, or stalking.

(4)

The demographic
characteristics of employees who were eligible for and who used paid sick
time.

(b)

GAO
study

(1)

In
general

The Comptroller
General of the United States shall annually conduct a study to determine the
following:

(A)(i)

The number of days employees used paid sick
time and the reasons for the use.

(ii)

The number of employees who used the paid
sick time for periods of time covering more than 3 consecutive workdays.

(B)

The cost and benefits to employers of
implementing the paid sick time policies.

(C)

The cost to employees of providing
certification to obtain the paid sick time.

(D)

The benefits of the paid sick time to
employees and their family members, including effects on employees' ability to
care for their family members or to provide for their own health needs.

(E)

Whether the paid sick time affected
employees' ability to sustain an adequate income while meeting needs of the
employees and their family members.

(F)

Whether employers who administered paid
sick time policies prior to the date of enactment of this subtitle were
affected by the provisions of this subtitle.

(G)

Whether other types of leave were affected
by this subtitle.

(H)

Whether paid sick time affected retention
and turnover and costs of presenteeism.

(I)

Whether the paid sick time increased the
use of less costly preventive medical care and lowered the use of emergency
room care.

(J)

Whether the paid sick time reduced the
number of children sent to school when the children were sick.

(2)

Aggregating
data

The data collected under
subparagraphs (A) and (D) of paragraph (1) shall be aggregated by gender, race,
disability, earnings level, age, marital status, family type, including
parental status, and industry.

(3)

Reports

(A)

In
general

Not later than 18
months after the date of enactment of this subtitle, the Comptroller General of
the United States shall prepare and submit a report to the appropriate
committees of Congress concerning the results of the study conducted pursuant
to paragraph (1) and the data aggregated under paragraph (2).

(B)

Followup
report

Not later than 5 years
after the date of enactment of this subtitle, the Comptroller General of the
United States shall prepare and submit a followup report to the appropriate
committees of Congress concerning the results of the study conducted pursuant
to paragraph (1) and the data aggregated under paragraph (2).

179.

Effect on other
laws

(a)

Federal and
State antidiscrimination laws

Nothing in this subtitle shall be construed
to modify or affect any Federal or State law prohibiting discrimination on the
basis of race, religion, color, national origin, sex, age, or
disability.

(b)

State and local
laws

Nothing in this subtitle
shall be construed to supersede (including preempting) any provision of any
State or local law that provides greater paid sick time or leave rights
(including greater paid sick time or leave, or greater coverage of those
eligible for paid sick time or leave) than the rights established under this
subtitle.

180.

Effect on existing
employment benefits

(a)

More
protective

Nothing in this
subtitle shall be construed to diminish the obligation of an employer to comply
with any contract, collective bargaining agreement, or any employment benefit
program or plan that provides greater paid sick leave or other leave rights to
employees or individuals than the rights established under this
subtitle.

(b)

Less
protective

The rights
established for employees under this subtitle shall not be diminished by any
contract, collective bargaining agreement, or any employment benefit program or
plan.

181.

Encouragement of
more generous leave policies

Nothing in this subtitle shall be construed
to discourage employers from adopting or retaining leave policies more generous
than policies that comply with the requirements of this subtitle.

182.

Regulations

(a)

In
general

(1)

Authority

Except as provided in paragraph (2), not
later than 180 days after the date of enactment of this subtitle, the Secretary
shall prescribe such regulations as are necessary to carry out this subtitle
with respect to employees described in subparagraph (A) or (B) of section
173(3) and other individuals affected by employers described in subclause (I)
or (II) of section 173(4)(A)(i).

(2)

Government
Accountability Office; Library of Congress

The Comptroller General of the United
States and the Librarian of Congress shall prescribe the regulations with
respect to employees of the Government Accountability Office and the Library of
Congress, respectively and other individuals affected by the Comptroller
General of the United States and the Librarian of Congress,
respectively.

(b)

Employees
covered by Congressional Accountability Act of 1995

(1)

Authority

Not later than 120 days after the date of
enactment of this subtitle, the Board of Directors of the Office of Compliance
shall prescribe (in accordance with section 304 of the Congressional
Accountability Act of 1995 (2 U.S.C. 1384)) such regulations as are necessary
to carry out this subtitle with respect to employees described in section
173(3)(C) and other individuals affected by employers described in section
173(4)(A)(i)(III).

(2)

Agency
regulations

The regulations
prescribed under paragraph (1) shall be the same as substantive regulations
promulgated by the Secretary to carry out this subtitle except insofar as the
Board may determine, for good cause shown and stated together with the
regulations prescribed under paragraph (1), that a modification of such
regulations would be more effective for the implementation of the rights and
protections involved under this section.

(c)

Employees
covered by chapter 5 of title
3, United States Code

(1)

Authority

Not later than 120 days after the date of
enactment of this subtitle, the President (or the designee of the President)
shall prescribe such regulations as are necessary to carry out this subtitle
with respect to employees described in section 173(3)(D) and other individuals
affected by employers described in section 173(4)(A)(i)(IV).

(2)

Agency
regulations

The regulations
prescribed under paragraph (1) shall be the same as substantive regulations
promulgated by the Secretary to carry out this subtitle except insofar as the
President (or designee) may determine, for good cause shown and stated together
with the regulations prescribed under paragraph (1), that a modification of
such regulations would be more effective for the implementation of the rights
and protections involved under this section.

(d)

Employees
covered by chapter 63 of title
5, United States Code

(1)

Authority

Not later than 120 days after the date of
enactment of this subtitle, the Director of the Office of Personnel Management
shall prescribe such regulations as are necessary to carry out this subtitle
with respect to employees described in section 173(3)(E) and other individuals
affected by employers described in section 173(4)(A)(i)(V).

(2)

Agency
regulations

The regulations
prescribed under paragraph (1) shall be the same as substantive regulations
promulgated by the Secretary to carry out this subtitle except insofar as the
Director may determine, for good cause shown and stated together with the
regulations prescribed under paragraph (1), that a modification of such
regulations would be more effective for the implementation of the rights and
protections involved under this section.

183.

Effective
dates

(a)

Effective
date

This subtitle shall take
effect 6 months after the date of issuance of regulations under section
182(a)(1).

(b)

Collective
bargaining agreements

In the
case of a collective bargaining agreement in effect on the effective date
prescribed by subsection (a), this subtitle shall take effect on the earlier
of—

(1)

the date of the termination of such
agreement; or

(2)

the date that occurs 18 months after the
date of issuance of regulations under section 182(a)(1).

II

Child care
expansion and improvement

A

Care for Young
Children

201.

Expanding child
care for young children

(a)

Goals

Section
658A(b) of the Child Care and Development
Block Grant Act of 1990 (42 U.S.C. 9801 note) is amended—

(1)

in paragraph (4),
by striking and;

(2)

in paragraph (5),
by striking the period and inserting ; and; and

(3)

by adding at the
end the following:

(6)

to assist States
in improving child care services for young
children.

.

(b)

Authorization of
appropriations

Section 658B of the
Child Care and Development Block Grant Act
of 1990 (42 U.S.C. 9858) is amended—

(1)

by striking
There and inserting (a) In General.—There;
and

(2)

by adding at the end the
following:

(b)

Child care
activities for young children

In addition to amounts appropriated
under subsection (a), there is authorized to be appropriated to carry out child
care activities for young children under this subchapter $500,000,000 for each
of the fiscal years 2012, 2013, and
2014.

.

(c)

Child care
activities for young children

The
Child Care and Development Block Grant Act
of 1990 (42 U.S.C. 9801 et seq.) is amended by inserting after
section 658G the following:

658H.

Child care
activities for young children

Child care activities for young children for
which funds under this subchapter may be used include activities that are
designed to accomplish the following:

(1)

Increase the
availability of child care services for young children with
disabilities.

(2)

Provide support
services for networks of family child care providers.

(3)

Provide or support
programs that provide training, services, materials, equipment, or other
support to caregivers, eligible child care providers, and family child care
providers that provide child care to young children. Such support may include
the purchase of equipment such as cribs and high chairs.

(4)

Provide funds to
increase compensation offered and provide bonuses to caregivers, eligible child
care providers, and family child care providers who provide child care to
children under the age of 3 years, especially those caregivers and providers
who have formal education in early childhood development.

(5)

Provide and
support networks between health care providers and caregivers, eligible child
care providers, and family child care providers that provide child care to
young children.

(6)

Provide child care
services for young children who are enrolled in Head Start programs under the
Head Start Act (42 U.S.C. 9831 et
seq.).

.

(d)

Definitions

Section
658P of the Child Care and Development Block
Grant Act of 1990 (42 U.S.C. 9858n) is amended by adding at the end
the following:

(15)

Young
children

The term young children means eligible
children who are less than 3 years of
age.

.

B

Improving Child
Care Quality Through Teacher Incentives

211.

Purpose

The purposes of this subtitle are—

(1)

to establish the
Child Care Provider Development and Retention Grant Program, the Child Care
Provider Scholarship Program, and a program of child care provider health
benefits coverage; and

(2)

to help children
receive the high-quality child care and early education the children need for
positive cognitive and social development, by rewarding and promoting the
retention of committed, qualified child care providers and by providing
financial assistance to improve the educational qualifications of child care
providers.

212.

Definitions

In this subtitle:

(1)

Child care
provider

The term child care provider means an
individual who provides a service directly to a child on a person-to-person
basis for compensation for—

(A)

a center-based
child care provider that is licensed or regulated under State or local law and
that satisfies the State and local requirements applicable to the child care
services provided;

(B)

a licensed or
regulated family child care provider that satisfies the State and local
requirements applicable to the child care services provided; or

(C)

an out-of-school
time program that is licensed or regulated under State or local law and that
satisfies the State and local requirements applicable to the child care
services provided.

(2)

Family Child
Care provider

The term family child care provider
has the meaning given such term in section 658P of the
Child Care and Development Block Grant Act
of 1990 (42 U.S.C. 9858n).

(3)

Indian
tribe

The term Indian tribe has the meaning given
such term in section 4 of the Indian
Self-Determination and Education Assistance Act (25 U.S.C.
450b).

(4)

Lead
agency

The term lead agency means the agency
designated under section 658D of the Child
Care and Development Block Grant Act of 1990 (42 U.S.C.
9858b).

(5)

Secretary

The
term Secretary means the Secretary of Health and Human
Services.

(6)

State

The
term State means any of the several States, the District of
Columbia, the Commonwealth of Puerto Rico, the Virgin Islands of the United
States, Guam, American Samoa, or the Commonwealth of the Northern Mariana
Islands.

(7)

Tribal
organization

The term tribal organization has the
meaning given the term in section 4 of the Indian Self-Determination and Education Assistance
Act (25 U.S.C. 450b).

From amounts appropriated to carry out this subtitle, the
Secretary may allot and distribute funds to eligible States, and make payments
to Indian tribes and tribal organizations, to pay for the Federal share of the
cost of carrying out activities under sections 216, 217, and 218 for eligible
child care providers.

(b)

Allotments

The
funds shall be allotted and distributed, and the payments shall be made, by the
Secretary in accordance with section 214, and expended by the States (directly,
or at the option of the States, through units of general purpose local
government), and by Indian tribes and tribal organizations, in accordance with
this subtitle.

214.

Allotments to
States

(a)

Amounts
reserved

(1)

Territories and
possessions

The Secretary shall reserve not more than
½ of 1 percent of the funds appropriated under section
221(a), and not more than ½ of 1 percent of the funds
appropriated under section 222(b), for any fiscal year for payments to the
Virgin Islands of the United States, Guam, American Samoa, and the Commonwealth
of the Northern Mariana Islands, to be allotted in accordance with their
respective needs.

(2)

Indian tribes
and tribal organizations

The Secretary shall reserve not more
than 3 percent of the funds appropriated under section 221(a), and not more
than 3 percent of the funds appropriated under section 221(b), for any fiscal
year for payments to Indian tribes and tribal organizations with applications
approved under subsection (c).

(b)

Allotments to
remaining States

(1)

General
authority

From the funds appropriated under section 221(a) for
any fiscal year and remaining after the reservations made under subsection (a),
and from the funds appropriated under section 221(b) for any fiscal year and
remaining after the reservations made under subsection (a), the Secretary shall
allot to each State an amount equal to the sum of—

(A)

an amount that
bears the same ratio to 50 percent of the appropriate remainder as the product
of the young child factor of the State and the allotment percentage of the
State bears to the sum of the corresponding products for all States; and

(B)

an amount that
bears the same ratio to 50 percent of such remainder as the product of the
school lunch factor of the State and the allotment percentage of the State
bears to the sum of the corresponding products for all States.

(2)

Young child
factor

In this subsection, the term young child
factor means the ratio of the number of children under 5 years of age in
the State to the number of such children in all the States, as determined
according to the most recent annual estimates of population in the States, as
provided by the Bureau of the Census.

(3)

School lunch
factor

In this subsection, the term school lunch
factor means the ratio of the number of children who are receiving free
or reduced price lunches under the school lunch program established under the
Richard B. Russell National School Lunch
Act (42 U.S.C. 1751 et seq.) in the State to the number of such
children in all the States, as determined annually by the Department of
Agriculture.

(4)

Allotment
percentage

(A)

In
general

Except as provided in subparagraph (B), for purposes of
this subsection, the allotment percentage for a State shall be determined by
dividing the per capita income of all individuals in the United States, by the
per capita income of all individuals in the State.

(B)

Limitations

For
purposes of this subsection, if an allotment percentage determined under
subparagraph (A)—

(i)

is more than 1.2
percent, the allotment percentage of that State shall be considered to be 1.2
percent; and

(ii)

is less than 0.8
percent, the allotment percentage of the State shall be considered to be 0.8
percent.

(C)

Per capita
income

For purposes of subparagraph (A), per capita income shall
be—

(i)

determined at
2-year intervals;

(ii)

applied for the
2-year period beginning on October 1 of the first fiscal year beginning after
the date such determination is made; and

(iii)

equal to the
average of the annual per capita incomes for the most recent period of 3
consecutive years for which satisfactory data are available from the Department
of Commerce at the time such determination is made.

(c)

Payments to
Indian tribes and tribal organizations

(1)

Reservation of
funds

From amounts reserved under subsection (a)(2), the
Secretary may make grants to or enter into contracts with Indian tribes and
tribal organizations that submit applications under this subsection, to plan
and carry out programs and activities—

(A)

to encourage child
care providers to improve their qualifications;

(B)

to retain
qualified child care providers in the child care field; and

(C)

to provide health
benefits coverage for child care providers.

(2)

Applications and
requirements

To be eligible to receive a grant or contract under
this subsection, an Indian tribe or tribal organization shall submit an
application to the Secretary at such time, in such manner, and containing such
information as the Secretary may require. The application shall provide that
the applicant—

(A)

will coordinate
the programs and activities involved, to the maximum extent practicable, with
the lead agency in each State in which the applicant will carry out such
programs and activities; and

(B)

will make such
reports on, and conduct such audits of the funds made available through the
grant or contract for, programs and activities under this subtitle as the
Secretary may require.

(d)

Data and
information

The Secretary shall obtain from each appropriate
Federal agency, the most recent data and information necessary to determine the
allotments provided for in subsection (b).

(e)

Reallotments

(1)

In
general

Any portion of an allotment under subsection (b) to a
State for a fiscal year that the Secretary determines will not be distributed
to the State for such fiscal year shall be reallotted by the Secretary to other
States in proportion to the original corresponding allotments made under such
subsection to such States for such fiscal year.

(2)

Limitations

(A)

Reduction

The
amount of any reallotment to which a State is entitled under this subsection
shall be reduced to the extent that such amount exceeds the amount that the
Secretary estimates will be distributed to the State to carry out corresponding
activities under this subtitle.

(B)

Reallotments

The
amount of such reduction shall be reallotted to States for which no reduction
in a corresponding allotment, or in a corresponding reallotment, is required by
this subsection, in proportion to the original corresponding allotments made
under subsection (b) to such States for such fiscal year.

(3)

Amounts
reallotted

For purposes of this subtitle (other than this
subsection and subsection (b)), any amount reallotted to a State under this
subsection shall be considered to be part of the corresponding allotment made
under subsection (b) to the State.

(4)

Indian tribes or
tribal organizations

Any portion of a grant or contract made to
an Indian tribe or tribal organization under subsection (c) that the Secretary
determines is not being used in a manner consistent with the provisions of this
subtitle in the period for which the grant or contract is made available, shall
be used by the Secretary to make payments to other tribes or organizations that
have submitted applications under subsection (c) in accordance with their
respective needs.

(f)

Cost-Sharing

(1)

Child care
provider development and retention grants and scholarships

(A)

Federal
share

The Federal share of the cost of carrying out activities
under sections 216 and 217, with funds allotted under this section and
distributed by the Secretary to a State, shall be—

(i)

not more than 90
percent of the cost of each grant made under such sections, in the first fiscal
year for which the State receives such funds;

(ii)

not more than 85
percent of the cost of each grant made under such sections, in the second
fiscal year for which the State receives such funds;

(iii)

not more than 80
percent of the cost of each grant made under such sections, in the third fiscal
year for which the State receives such funds; and

(iv)

not more than 75
percent of the cost of each grant made under such sections, in any subsequent
fiscal year for which the State receives such funds.

(B)

Non-federal
share

(i)

In
general

The State may provide the non-Federal share of the cost
in cash or in the form of an in-kind contribution, fairly evaluated by the
Secretary.

(ii)

In-kind
contribution

In this subparagraph, the term in-kind
contribution means payment of the costs of participation of eligible
child care providers in health insurance programs or retirement
programs.

(2)

Child care
provider health benefits coverage

(A)

Federal
share

The Federal share of the cost of carrying out activities
under section 218, with funds allotted under this section and distributed by
the Secretary to a State, shall be not more than 50 percent of such
cost.

(B)

Non-federal
share

The State may provide the non-Federal share of the cost in
cash or in kind, fairly evaluated by the Secretary, including plant, equipment,
or services. The State shall provide the non-Federal share directly or through
donations from public or private entities. Amounts provided by the Federal
Government, or services assisted or subsidized to any significant extent by the
Federal Government, may not be included in determining the amount of such
share.

(g)

Availability of
allotted funds distributed to States

Of the funds allotted under
this section for activities described in sections 216 and 217 and distributed
by the Secretary to a State for a fiscal year—

(1)

not less than 67.5
percent shall be available to the State for grants under section 216;

(2)

not less than 22.5
percent shall be available to the State for grants under section 217;
and

(3)

not more than 10
percent shall be available to pay administrative costs incurred by the State to
carry out activities described in sections 216 and 217.

(h)

Definition

For
the purposes of subsections (a) through (e), the term State
includes only the 50 States, the District of Columbia, and the Commonwealth of
Puerto Rico.

215.

Application and
plan

(a)

Application

To
be eligible to receive a distribution of funds allotted under section 214, a
State shall submit to the Secretary an application at such time, in such
manner, and containing such information as the Secretary may require by rule
and shall include in such application—

(1)

a State plan that
satisfies the requirements of subsection (b); and

(2)

assurances of
compliance satisfactory to the Secretary with respect to the requirements of
section 218.

(b)

Requirements of
plan

(1)

Lead
agency

The State plan shall identify the lead agency to make
grants under this subtitle for the State.

(2)

Recruitment and
retention of child care providers

The State plan shall describe
how the lead agency will encourage both the recruitment of qualified child care
providers who are new to the child care field and the retention of qualified
child care providers who have a demonstrated commitment to the child care
field.

(3)

Notification of
availability of grants and benefits

The State plan shall describe
how the lead agency will identify all eligible child care providers in the
State and notify the providers of the availability of grants and benefits under
this subtitle.

(4)

Distribution of
grants

The State plan shall describe how the lead agency will
make grants under sections 216 and 217 to eligible child care providers in
selected geographical areas in the State in compliance with the following
requirements:

(A)

Selection of
geographical areas

For the purpose of making such grants for a
fiscal year, the State shall—

(i)

select a variety
of geographical areas, determined by the State, that, collectively—

(I)

include urban
areas, suburban areas, and rural areas; and

(II)

are areas whose
residents have diverse income levels; and

(ii)

give special
consideration to geographical areas selected under this subparagraph for the
preceding fiscal year.

(B)

Selection of
child care providers to receive grants

In making grants under
section 216, the State may make grants only to eligible child care providers in
geographical areas selected under subparagraph (A), but may give special
consideration in such areas to eligible child care providers—

(i)

who have attained
a higher relevant educational credential;

(ii)

who provide a
specific kind of child care services;

(iii)

who provide
child care services to populations who meet specific economic characteristics;
or

(iv)

who meet such
other criteria as the State may establish.

(C)

Limitation

The
State shall describe how the State will ensure that grants made under section
216 to child care providers will not be used to offset reductions in the
compensation of such providers.

(D)

Reporting
requirement

With respect to each particular geographical area
selected under subparagraph (A), the State shall provide an assurance that the
State will, for each fiscal year for which such State receives a grant under
section 216—

(i)

include in the
report required by section 219, detailed information regarding—

(I)

the continuity of
employment of the grant recipients as child care providers with the same
employer;

(II)

with respect to
each employer that employed such a grant recipient, whether such employer was
accredited by a recognized national or State accrediting body during the period
of employment; and

(III)

to the extent
practicable and available to the State, the rate and frequency of employment
turnover of qualified child care providers throughout such area,

during the 2-year period ending on the
deadline for submission of applications for grants under section 216 for that
fiscal year; and(ii)

provide a
follow-up report, not later than 90 days after the end of the succeeding fiscal
year that includes information regarding—

(I)

the continuity of
employment of the grant recipients as child care providers with the same
employer;

(II)

with respect to
each employer that employed such a grant recipient, whether such employer was
accredited by a recognized national or State accrediting body during the period
of employment; and

(III)

to the extent
practicable and available to the State, detailed information regarding the rate
and frequency of employment turnover of qualified child care providers
throughout such area,

during the 1-year period beginning on
the date on which the grant to the State was made under section 216.(5)

Child Care
Provider Development and Retention Grant Program

The State plan
shall describe how the lead agency will determine the amounts of grants to be
made under section 216 in accordance with the following requirements:

(A)

Sufficient
amounts

The State shall demonstrate that the amounts of
individual grants to be made under section 216 will be sufficient—

(i)

to encourage child
care providers to improve their qualifications; and

(ii)

to retain
qualified child care providers in the child care field.

(B)

Amounts to
credentialed providers

Such grants made to eligible child care
providers who have a child development associate credential (or equivalent) and
who are employed full-time to provide child care services shall be in an amount
that is not less than $1,000 per year.

(C)

Amounts to
providers with higher levels of education

The State shall make
such grants in amounts greater than $1,000 per year to eligible child care
providers who have higher levels of education than the education required for a
credential such as a child development associate credential (or equivalent),
according to the following requirements:

(i)

Providers with
baccalaureate degrees in relevant fields

An eligible child care
provider who has a baccalaureate degree in the area of child development or
early child education shall receive a grant under section 216 in an amount that
is not less than twice the amount of the grant that is made under section 216
to an eligible child care provider who has an associate of the arts degree in
the area of child development or early child education.

(ii)

Providers with
associate degrees

An eligible child care provider who has an
associate of the arts degree in the area of child development or early child
education shall receive a grant under section 216 in an amount that is not less
than 150 percent of the amount of the grant that is made under section 216 to
an eligible child care provider who has a child development associate
credential (or equivalent) and is employed full-time to provide child care
services.

(iii)

Other
providers with baccalaureate degrees

(I)

In
general

Except as provided in subclause (II), an eligible child
care provider who has a baccalaureate degree in a field other than child
development or early child education shall receive a grant under section 216 in
an amount equal to the amount of the grant that is made under section 216 to an
eligible child care provider who has an associate of the arts degree in the
area of child development or early child education.

(II)

Exception

If
an eligible child care provider who has such a baccalaureate degree obtains
additional educational training in the area of child development or early child
education, as specified by the State, such provider shall receive a grant under
section 216 in an amount equal to the amount of the grant that is made under
section 216 to an eligible child care provider who has a baccalaureate degree
specified in clause (i).

(D)

Amounts to
full-time providers

The State shall make a grant under section
216 to an eligible child care provider who works full-time in a greater amount
than the amount of the grant that is made under section 216 to an eligible
child care provider who works part-time, based on the State definitions of
full-time and part-time work.

(E)

Amounts to
experienced providers

The State shall make grants under section
216 in progressively larger amounts to eligible child care providers to reflect
the number of years worked as child care providers.

(6)

Distribution of
child care provider scholarships

The State plan shall describe
how the lead agency will make grants for scholarships in compliance with
section 217 and shall specify the types of educational and training programs
for which the scholarship grants made under such section may be used, including
only programs that—

(A)

are administered
by institutions of higher education that are eligible to participate in student
financial assistance programs under title IV of the
Higher Education Act of 1965 (20
U.S.C. 1070 et seq.); and

(B)

lead to a State or
nationally recognized credential in the area of child development or early
child education, an associate of the arts degree in the area of child
development or early child education, or a baccalaureate degree in the area of
child development or early child education.

(7)

Employer
contribution

The State plan shall describe how the lead agency
will encourage employers of child care providers to contribute to the
attainment of education goals by eligible child care providers who receive
grants under section 217.

(8)

Supplementation

The
State plan shall provide assurances that amounts received by the State to carry
out sections 216, 217, and 218 will be used only to supplement, and not to
supplant, Federal, State, and local funds otherwise available to support
existing services and activities (as of the date the amounts are used)
that—

(A)

encourage child
care providers to improve their qualifications and that promote the retention
of qualified child care providers in the child care field; or

(B)

provide health
benefits coverage for child care providers.

216.

Child Care
Provider Development and Retention Grant Program

(a)

In
general

A State that receives funds allotted under section 214
and made available to carry out this section shall expend such funds to pay for
the Federal share of the cost of making grants to eligible child care providers
in accordance with this section, to improve the qualifications and promote the
retention of qualified child care providers.

(b)

Eligibility To
receive grants

To be eligible to receive a grant under this
section, a child care provider shall—

(1)

have a child
development associate credential (or equivalent), an associate of the arts
degree in the area of child development or early child education, a
baccalaureate degree in the area of child development or early child education,
or a baccalaureate degree in an unrelated field; and

(2)

be employed as a
child care provider for not less than 1 calendar year, or (if the provider is
employed on the date of the eligibility determination in a child care program
that operates for less than a full calendar year) the program equivalent of 1
calendar year, ending on the date of the application for such grant, except
that not more than 3 months of education related to child development or to
early child education obtained during the corresponding calendar year may be
treated as employment that satisfies the requirements of this paragraph.

(c)

Preservation of
eligibility

A State shall not take into consideration whether a
child care provider is receiving, may receive, or may be eligible to receive
any funds or benefits under any other provision of this subtitle for purposes
of selecting eligible child care providers to receive grants under this
section.

217.

Child Care
Provider Scholarship Program

(a)

In
general

A State that receives funds allotted under section 214
and made available to carry out this section shall expend such funds to pay for
the Federal share of the cost of making scholarship grants to eligible child
care providers in accordance with this section, to improve their educational
qualifications to provide child care services.

(b)

Eligibility
requirement for scholarship grants

To be eligible to receive a
scholarship grant under this section, a child care provider shall be employed
as a child care provider for not less than 1 calendar year, or (if the provider
is employed on the date of the eligibility determination in a child care
program that operates for less than a full calendar year) the program
equivalent of 1 calendar year, ending on the date of the application for such
grant.

(c)

Selection of
grantees

For purposes of selecting eligible child care providers
to receive scholarship grants under this section and determining the amounts of
such grants, a State shall not—

(1)

take into
consideration whether a child care provider is receiving, may receive, or may
be eligible to receive any funds or benefits under any other provision of this
subtitle, or under any other Federal or State law that provides funds for
educational purposes; or

(2)

consider as
resources of such provider any funds such provider is receiving, may receive,
or may be eligible to receive under any other provision of this subtitle, under
any other Federal or State law that provides funds for educational purposes, or
from a private entity.

(d)

Cost-Sharing
required

The amount of a scholarship grant made under this
section to an eligible child care provider shall be less than the cost of the
educational or training program for which such grant is made.

(e)

Annual maximum
scholarship grant amount

The maximum aggregate dollar amount of a
scholarship grant made by a State to an eligible child care provider under this
section in a fiscal year shall be $1,500.

218.

Child care
provider health benefits coverage

(a)

Short
title

This section may be cited as the Healthy Early Education Workforce Grant Program
Act.

(b)

Definition

In
this section, the terms dependent, domestic partner,
and spouse, used with respect to a State, have the meanings given
the terms by the State.

(c)

General
authority

A State that receives funds allotted under section 214
and made available to carry out this section shall expend such funds to pay for
the Federal share of the cost of providing access to affordable health benefits
coverage for—

(1)

eligible child
care providers; and

(2)

at the discretion
of the State involved, the spouses, domestic partners, and dependents of such
providers.

(d)

Permissible
activities

In carrying out subsection (c), the State may expend
such funds for any of the following:

(1)

To reimburse an
employer of an eligible child care provider, or the provider, for the
employer’s or provider’s share (or a portion of the share) of the premiums or
other costs for coverage under group or individual health plans.

(2)

To offset the cost
of enrolling eligible child care providers in public health benefits plans,
such as the medicaid program under title XIX of the
Social Security Act (42 U.S.C. 1396 et
seq.), the State children’s health insurance program under title XXI of such
Act (42 U.S.C. 1397aa et seq.), or public employee health benefit plans.

The State may establish
criteria to limit the child care providers who may receive benefits through the
allotment.

(f)

Selection of
grantees

For purposes of selecting eligible child care providers
to receive benefits under this section for a fiscal year, a State shall
give—

(1)

highest priority
to—

(A)

providers that
meet any applicable criteria established in accordance with subsection (e) and
received such assistance during the previous fiscal year; and

(B)

at the State’s
discretion, the spouses, domestic partners, and dependents of such providers;
and

(2)

second highest
priority to—

(A)

providers that
meet any applicable criteria established in accordance with subsection (e) and
are accredited by the National Association for the Education of Young Children
or the National Association for Family Child Care; and

(B)

at the State’s
discretion, the spouses, domestic partners, and dependents of such
providers.

219.

Annual
report

A State that receives
funds appropriated to carry out this subtitle for a fiscal year shall submit to
the Secretary, not later than 90 days after the end of such fiscal year, a
report—

(1)

specifying the
uses for which the State expended such funds, and the aggregate amount of funds
(including State funds) expended for each of such uses; and

(2)

containing
available data relating to grants made and benefits provided with such funds,
including—

(A)

the number of
eligible child care providers who received such grants and benefits;

(B)

the amounts of
such grants and benefits;

(C)

any other
information that describes or evaluates the effectiveness of this
subtitle;

(D)

the particular
geographical areas selected under section 215 for the purpose of making such
grants;

(E)

with respect to
grants made under section 216—

(i)

the number of
years grant recipients have been employed as child care providers;

(ii)

the level of
training and education of grant recipients;

(iii)

to the extent
practicable and available to the State, detailed information regarding the
salaries and other compensation received by grant recipients to provide child
care services before, during, and after receiving such grants;

(iv)

the number of
children who received child care services provided by grant recipients;

(v)

information on
family demographics of such children;

(vi)

the types of
settings described in subparagraphs (A), (B), and (C) of section 212(1) in
which grant recipients are employed; and

(vii)

the ages of the
children who received child care services provided by grant recipients;

(F)

with respect to
grants made under section 217—

(i)

the number of
years grant recipients have been employed as child care providers;

(ii)

the level of
training and education of grant recipients;

(iii)

to the extent
practicable and available to the State, detailed information regarding the
salaries and other compensation received by grant recipients to provide child
care services before, during, and after receiving such grants;

(iv)

the types of
settings described in subparagraphs (A), (B), and (C) of section 212(1) in
which grant recipients are employed;

(v)

the ages of the
children who received child care services provided by grant recipients;

(vi)

the number of
course credits or credentials obtained by grant recipients; and

(vii)

the amount of
time taken for completion of the educational and training programs for which
such grants were made; and

(G)

such other
information as the Secretary may require by rule.

220.

Evaluation of
health benefits programs by Secretary

(a)

Evaluation

The
Secretary shall conduct an evaluation of several State programs carried out
with grants made under section 218, representing various approaches to raising
the rate of child care providers with health benefits coverage.

(b)

Assessment of
impacts

In evaluating State programs under subsection (a), the
Secretary may consider any information appropriate to measure the success of
the programs, and shall assess the impact of the programs on the
following:

(1)

The rate of child
care providers with health benefits coverage.

(2)

The take-up rate
by eligible child care providers.

(3)

The turnover rate
in the child care field.

(4)

The average wages
paid to a child care provider.

(c)

Report

Not
later than 3 years after the date of enactment of this subtitle, the Secretary
shall prepare and submit a report to Congress containing the results of the
evaluation conducted under subsection (a), together with recommendations for
strengthening programs carried out with grants made under section 218.

221.

Authorization
of appropriations

(a)

Child care
provider development, retention, and scholarships

There are
authorized to be appropriated to carry out the activities described in sections
216 and 217 $500,000,000 for fiscal year 2012 and such sums as may be necessary
for each of fiscal years 2012 through 2016.

(b)

Child care
provider health benefits coverage

There is authorized to be
appropriated to carry out the activities described in section 218 $200,000,000
for fiscal year 2011 and such sums as may be necessary for each of fiscal years
2012 through 2016.

C

Child Care
Facilities Financing

231.

Short
title

This subtitle may be
cited as the Child Care Facilities
Financing Act.

232.

Technical and
financial assistance grants

(a)

Grant
authority

The Secretary may
make grants on a competitive basis to eligible entities in accordance with this
section.

(b)

Application

(1)

In
general

To be eligible to receive a grant under subsection (a),
an eligible entity shall submit to the Secretary an application at such time,
in such form, and containing such information as the Secretary may require by
rule.

(2)

Requirements

The Secretary shall issue rules that take
into account the experience and success of eligible entities in attracting
private financing and carrying out the types of activities for which grants
under subsection (a) are made.

(c)

Priority

In making grants under subsection (a), the
Secretary shall give priority to an applicant—

(1)

that has
demonstrated experience—

(A)

providing technical or financial assistance
for the acquisition, construction, or renovation of child care
facilities;

securing private
sources of capital financing for child care or other low-income community
development; and

(2)

whose application
proposes to assist eligible recipients that serve—

(A)

low-income areas, including—

(i)

a community that—

(I)

is in a metropolitan area; and

(II)

has a median household income that is not
more than 80 percent of the median household income of the metropolitan area;
or

(ii)

a
community that—

(I)

is not in a metropolitan area; and

(II)

has a median income that is not more than
80 percent of the median household income of the State in which the community
is located; or

(B)

low-income individuals, including eligible
children.

(d)

Use of
funds

(1)

Capital
fund

Each eligible entity
that receives a grant under subsection (a) shall deposit the grant amount into
a child care capital fund established by the eligible entity.

(2)

Payments from
funds

Each eligible entity
shall provide technical or financial assistance (in the form of loans, grants,
investments, guarantees, interest subsidies, and other appropriate forms of
assistance) to eligible recipients from the child care capital fund it
establishes to pay for—

(A)

the acquisition,
construction, or improvement of child care facilities;

(B)

equipment for
child care facilities; or

(C)

technical
assistance to eligible child care providers to help them undertake facilities
improvement and expansion projects.

(3)

Loan repayments
and investment proceeds

An
eligible entity that receives a loan repayment or investment proceeds from an
eligible recipient shall deposit such repayment or proceeds into the child care
capital fund of the eligible entity for use in accordance with this
section.

(4)

Application

To obtain assistance from an eligible
entity, an eligible recipient shall prepare and submit an application to an
eligible entity at such time, in such form, and containing such information as
the eligible entity may require.

233.

Definitions

As used in this subtitle:

(1)

Child care
facility

The term child care facility means a
structure used for the care and development of eligible children.

(2)

Child care
services

The term child
care services means child care and early childhood education.

(3)

Community
development financial institution

The term community development
financial institution has the meaning given such term in section 103(5)
of the Community Development Banking and Financial Institutions Act of 1994 (12
U.S.C. 4702(5)).

(4)

Eligible child
care provider

The term
eligible child care provider has the meaning given such term in
section 658P of the Child Care and Development Block Grant Act of 1990 (42
U.S.C. 9858n).

(5)

Eligible
child

The term eligible child has the meaning given
such term in section 658P of the Child Care and Development Block Grant Act of
1990 (42 U.S.C. 9858n).

(6)

Eligible
entity

The term “eligible
entity” means—

(A)

a community
development financial institution certified by the Department of Treasury;
or

(B)

an organization
that—

(i)

is
described in section 501(c)(3) of the Internal Revenue Code of 1986;

(ii)

is
exempt from taxation under section 501(a) of such Code; and

(iii)

has demonstrated
experience in—

(I)

providing technical or financial assistance
for the acquisition, construction, or renovation of child care
facilities;

an organization
seeking to provide child care services to an eligible child; or

(C)

an organization
providing or seeking to provide child care services to low-income children as
determined by the Secretary.

(8)

Equipment

The
term equipment includes—

(A)

machinery,
utilities, and built-in equipment, and any necessary structure to house them;
and

(B)

any other items necessary for the
functioning of a child care facility, including furniture, books, and program
materials.

(9)

Metropolitan
area

The term
metropolitan area has the meaning given such term in section 102
of the Housing and Community Development Act of 1974 (42 U.S.C. 5302).

(10)

Secretary

The term Secretary means the
Secretary of Health and Human Services.

234.

Authorization
of appropriations

There is
authorized to be appropriated to carry out this subtitle $50,000,000 for each
of the fiscal years 2012 through 2016.

D

Business Child
Care Incentive Grant Program

241.

Business child
care incentive grant program

(a)

Establishment

The
Secretary of Health and Human Services (referred to in this section as the
Secretary) shall establish a program to award grants to States,
on a competitive basis, to assist States in providing funds to encourage the
establishment and operation of employer operated child care programs.

(b)

Application

To
be eligible to receive a grant under this section, a State shall prepare and
submit to the Secretary an application at such time, in such manner, and
containing such information as the Secretary may require, including an
assurance that the funds required under subsection (e) will be provided.

(c)

Amount of
grant

The Secretary shall determine the amount of a grant to a
State under this section based on the population of children less than 5 years
of age in the State as compared to the population of all States receiving
grants under this section.

(d)

Use of
funds

(1)

In
general

A State shall use amounts provided under a grant awarded
under this section to provide assistance to businesses located in the State to
enable the businesses to establish and operate child care programs. Such
assistance may include—

(A)

technical
assistance in the establishment of a child care program;

(B)

assistance for the
startup costs related to a child care program;

(C)

assistance for the
training of child care providers;

(D)

scholarships for
low-income wage earners;

(E)

the provision of
services to care for sick children or to provide care to school aged
children;

(F)

the entering into
of contracts with local resource and referral or local health
departments;

(G)

assistance for
care for children with disabilities; or

(H)

assistance for any
other activity determined appropriate by the State.

(2)

Application

To
be eligible to receive assistance from a State under this section, a business
shall prepare and submit to the State an application at such time, in such
manner, and containing such information as the State may require.

(3)

Preference

(A)

In
general

In providing assistance under this section, a State shall
give priority to applicants that desire to form a consortium to provide child
care in a geographic area within the State where such care is not generally
available or accessible.

(B)

Consortium

For
purposes of subparagraph (A), a consortium shall be made up of 2 or more
entities that may include businesses, nonprofit agencies or organizations,
local governments, or other appropriate entities.

(4)

Limitation

With
respect to grant funds received under this section, a State may not provide in
excess of $100,000 in assistance from such funds to any single
applicant.

(e)

Matching
requirement

To be eligible to receive a grant under this section
a State shall provide assurances to the Secretary that, with respect to the
costs to be incurred by an entity receiving assistance in carrying out
activities under this section, the entity will make available (directly or
through donations from public or private entities) non-Federal contributions to
such costs in an amount equal to—

(1)

for the first
fiscal year in which the entity receives such assistance, not less than 50
percent of such costs ($1 for each $1 of assistance provided to the entity
under the grant);

(2)

for the second
fiscal year in which the entity receives such assistance, not less than
662/3 percent of such costs ($2 for each $1 of assistance
provided to the entity under the grant); and

(3)

for the third
fiscal year in which the entity receives such assistance, not less than 75
percent of such costs ($3 for each $1 of assistance provided to the entity
under the grant).

(f)

Requirements of
providers

To be eligible to receive assistance under a grant
awarded under this section a child care provider shall comply with all
applicable State and local licensing and regulatory requirements and all
applicable health and safety standards in effect in the State.

(g)

Administration

(1)

State
responsibility

A State shall have responsibility for
administering a grant awarded for the State under this section and for
monitoring entities that receive assistance under such grant.

(2)

Audits

A
State shall require each entity receiving assistance under the grant awarded
under this section to conduct an annual audit with respect to the activities of
the entity. Such audits shall be submitted to the State.

(3)

Misuse of
funds

(A)

Repayment

If
the State determines, through an audit or otherwise, that an entity receiving
assistance under a grant awarded under this section has misused the assistance,
the State shall notify the Secretary of the misuse. The Secretary, upon such a
notification, may seek from such an entity the repayment of an amount equal to
the amount of any such misused assistance plus interest.

(B)

Appeals
process

The Secretary shall by regulation provide for an appeals
process with respect to repayments under this paragraph.

(h)

Reporting
requirements

(1)

2-year
study

(A)

In
general

Not later than 2 years after the date on which the
Secretary first awards grants under this section, the Secretary shall conduct a
study to determine—

(i)

the capacity of
entities to meet the child care needs of communities within States;

(ii)

the kinds of
partnerships that are being formed with respect to child care at the local
level to carry out programs funded under this section; and

(iii)

who is using the
programs funded under this section and the income levels of such
individuals.

(B)

Report

Not
later than 28 months after the date on which the Secretary first awards grants
under this section, the Secretary shall prepare and submit to the appropriate
committees of Congress a report on the results of the study conducted in
accordance with subparagraph (A).

(2)

4-year
study

(A)

In
general

Not later than 4 years after the date on which the
Secretary first awards grants under this section, the Secretary shall conduct a
study to determine the number of child care facilities funded through entities
that received assistance through a grant awarded under this section that remain
in operation and the extent to which such facilities are meeting the child care
needs of the individuals served by such facilities.

(B)

Report

Not
later than 52 months after the date on which the Secretary first awards grants
under this section, the Secretary shall prepare and submit to the appropriate
committees of Congress a report on the results of the study conducted in
accordance with subparagraph (A).

(i)

Definition

In
this section, the term business means an employer who employed an
average of at least 2 employees on business days during the preceding calendar
year.

(j)

Authorization of
appropriations

(1)

In
general

There is authorized to be appropriated to carry out this
section, $60,000,000 for the period of fiscal years 2012 through 2016.

(2)

Evaluations and
administration

With respect to the total amount appropriated for
such period in accordance with this subsection, not more than $5,000,000 of
that amount may be used for expenditures related to conducting evaluations
required under, and the administration of, this section.

(k)

Termination of
program

The program established under subsection (a) shall
terminate on September 30, 2017.

III

Pre-school,
in-school, and after school assistance

A

Universal
Prekindergarten Act

301.

Short
title

This subtitle may be
cited as the Universal Prekindergarten
Act.

302.

Purpose

The purpose of this subtitle is to ensure
that all children 3, 4, and 5 years old have access to a high-quality full-day,
full-calendar-year prekindergarten program by providing grants to States to
assist in developing a universal prekindergarten program that is voluntary and
free-of-charge.

303.

Prekindergarten
grant program authorization

The Secretary of Health and Human Services,
in consultation with the Secretary of Education, shall provide grants to an
agency designated by each State (hereafter in this subtitle referred to as the
designated State agency) for the development of high-quality
full-day, full-calendar-year universal prekindergarten programs for all
children 3, 4, and 5 years old in the State.

304.

State
requirements

(a)

State matching
funds

Federal funds made available to a designated State agency
under this subtitle shall be matched at least 20 percent by State funds.

(b)

State
application

To be eligible to receive funds under this subtitle,
a designated State agency shall submit an application at such time, in such
manner, and containing such information as the Secretary of Health and Human
Services may require. The application shall include the following:

(1)

How the designated
State agency, in overseeing the State’s universal prekindergarten program, will
coordinate with other State agencies responsible for early childhood education
and health programs.

(2)

A State plan to
establish and implement a statewide universal prekindergarten program, in
accordance with subsection (c).

(c)

State
plan

The State plan required under subsection (b)(2) shall
include each of the following:

(1)

A description of
the universal prekindergarten program that will be established and how it will
support children’s cognitive, social, emotional, and physical
development.

(2)

A statement of the
goals for universal prekindergarten programs and how program outcomes will be
measured.

(3)

A description
of—

(A)

how funding will
be distributed to eligible prekindergarten program providers based on the need
for early childhood education in each geographical area served by such
providers; and

(B)

how the designated
State agency will involve representatives of early childhood program providers
(including child care providers, Head Start programs, and State and local
agencies) that sponsor programs addressing children 3, 4, and 5 years
old.

(4)

A description of
how the designated State agency will coordinate with existing State-funded
prekindergarten programs, federally funded programs (such as Head Start
programs), public school programs, and child care providers.

(5)

A description of
how an eligible prekindergarten program provider may apply to the designated
State agency for funding under this Act.

(6)

A plan to address
the shortages of qualified early childhood education teachers, including how to
increase such teachers’ compensation to be comparable to that of public school
teachers.

(7)

How the designated
State agency will provide ongoing professional development opportunities to
help increase the number of teachers in early childhood programs who meet the
State’s education or credential requirements for prekindergarten
teachers.

(8)

A plan to address
how the universal prekindergarten program will meet the needs of children with
disabilities, limited English proficiency, and other special needs.

(9)

A plan to provide
transportation to children to and from the universal prekindergarten
program.

(10)

A description of
how the State will provide the 20 percent match of Federal funds.

(d)

Administration

A
designated State agency may not use more than 5 percent of a grant under this
subtitle for costs associated with State administration of the program under
this subtitle.

305.

Local
requirements

(a)

In
general

An eligible prekindergarten program provider receiving
funding under this subtitle shall—

(1)

maintain a maximum
class size of 20 children;

(2)

maintain a ratio
of not more than 10 children for each member of the teaching staff;

(3)(A)

ensure that all
prekindergarten teachers meet the requirements for teachers at a State-funded
prekindergarten program under an applicable State law; and

(B)

document that the State is
demonstrating significant progress in assisting prekindergarten teachers on
working toward a bachelor of arts degree with training in early childhood
development or early childhood education;

(4)(A)

be accredited by a
national organization with demonstrated experience in accrediting
prekindergarten programs; or

(B)

provide assurances that it shall
obtain such accreditation not later than 3 years after first receiving funding
under this subtitle; and

(5)

meet applicable
State and local child care licensing health and safety standards.

(b)

Local
application

Eligible prekindergarten program providers desiring
to receive funding under this subtitle shall submit an application to the
designated State agency overseeing funds under this subtitle containing the
following:

(1)

A description of
the prekindergarten program.

(2)

A statement of the
demonstrated need for a program, or an enhanced or expanded program, in the
area served by the eligible prekindergarten program provider.

(3)

A description of
the age-appropriate and developmentally appropriate educational curriculum to
be provided that will help children be ready for school and assist them in the
transition to kindergarten.

(4)

A description of
how the eligible prekindergarten program provider will collaborate with
existing community-based child care providers and Head Start programs.

(5)

A description of
how students and families will be assisted in obtaining supportive services
available in their communities.

(6)

A plan to promote
parental involvement in the prekindergarten program.

(7)

A description of
how teachers will receive ongoing professional development in early childhood
development and education.

(8)

An assurance that
prekindergarten programs receiving funds under this subtitle provide the data
required in section 7(c).

306.

Professional
development set-aside

(a)

In
general

A designated State agency may set aside up to 5 percent
of a grant under this subtitle for ongoing professional development activities
for teachers and staff at prekindergarten programs that wish to participate in
the universal prekindergarten grant program under this subtitle. A designated
State agency using the set-aside for professional development must include in
its application the following:

(1)

A description of
how the designated State agency will ensure that eligible prekindergarten
program providers in a range of settings (including child care providers, Head
Start programs, and schools) will participate in the professional development
programs.

(2)

An assurance that,
in developing its application and in carrying out its program, the professional
development provider has consulted, and will consult, with relevant agencies,
early childhood organizations, early childhood education experts, and early
childhood program providers.

(3)

A description of
how the designated State agency will ensure that the professional development
is ongoing and accessible to educators in all geographic areas of the State,
including by the use of advanced educational technologies.

(4)

A description of
how the designated State agency will ensure that such set-aside funds will be
used to pay the cost of additional education and training.

(5)

A description of
how the designated State agency will work with other agencies and institutions
of higher education to provide scholarships and other financial assistance to
prekindergarten staff.

(6)

A description of
how the State educational agency will provide a financial incentive, such as a
financial stipend or a bonus, to educators who participate in and complete such
professional development.

(7)

A description of
how the professional development activities will be carried out, including the
following:

(A)

How programs and
educators will be selected to participate.

(B)

How professional
development providers will be selected, based on demonstrated experience in
providing research-based professional development to early childhood
educators.

(C)

The types of
research-based professional development activities that will be carried out in
all domains of children’s physical, cognitive, social, and emotional
development and on early childhood pedagogy.

(D)

How the program
will train early childhood educators to meet the diverse educational needs of
children in the community, especially children who have limited English
proficiency, disabilities, and other special needs.

(E)

How the program
will coordinate with and build upon, but not supplant or duplicate, early
childhood education professional development activities that exist in the
community.

(b)

Uses of
funds

Funds set aside under this section may be used for ongoing
professional development—

(1)

to provide
prekindergarten teachers and staff with the knowledge and skills for the
application of recent research on child cognitive, social, emotional, and
physical development, including language and literacy development, and on early
childhood pedagogy;

(2)

to provide the
cost of education needed to obtain a credential or degree with specific
training in early childhood development or education;

(3)

to work with
children who have limited English proficiency, disabilities, and other special
needs; and

(4)

to select and use
developmentally appropriate screening and diagnostic assessments to improve
teaching and learning and make appropriate referrals for services to support
prekindergarten children’s development and learning.

307.

Reporting

(a)

Report by
Secretary

For each year in which funding is provided under this
subtitle, the Secretary of Health and Human Services shall submit an annual
report to the Congress on the implementation and effectiveness of the universal
prekindergarten program under this subtitle.

(b)

Report by
designated State agency

Each designated State agency that
provides grants to eligible prekindergarten program providers under this
subtitle shall submit to the Secretary an annual report on the implementation
and effectiveness of the programs in the State supported under this subtitle.
Such report shall contain such additional information as the Secretary may
reasonably require.

(c)

Report by grant
recipient

Each eligible prekindergarten program provider that
receives a grant under this subtitle shall submit to the designated State
agency an annual report that includes, with respect to the program supported by
such grant, the following:

(1)

A description of
the type of program and a statement of the number and ages of children served
by the program, as well as the number and ages of children with a disability or
a native language other than English.

(2)

A description of
the qualifications of the program staff and the type of ongoing professional
development provided to such staff.

(3)

A statement of all
sources of Federal, State, local, and private funds received by the
program.

(4)

A description of
the curricula, materials, and activities used by the program to support early
childhood development and learning.

(5)

Such other
information as the designated State agency may reasonably require.

308.

Federal funds
supplementary

Funds made
available under this subtitle may not be used to supplant other Federal, State,
local, or private funds that would, in the absence of such Federal funds, be
made available for the program assisted under this subtitle.

309.

Definitions

In this subtitle:

(1)

The term
eligible prekindergarten program provider means a prekindergarten
program provider that is—

(A)

a school;

(B)

supported,
sponsored, supervised, or carried out by a local educational agency;

(C)

a Head Start
program; or

(D)

a child care
provider.

(2)

The term
prekindergarten program means a program serving children 3, 4, and
5 years old that supports children’s cognitive, social, emotional, and physical
development and helps prepare those children for the transition to
kindergarten.

(3)

The term
local educational agency has the meaning given that term in the
Elementary and Secondary Education Act of
1965 (20 U.S.C. 6301 et seq.).

(4)

The term
prekindergarten teacher means an individual who has received, or
is working toward, a bachelor of arts degree in early childhood
education.

310.

Authorization
of appropriations

There are
authorized to be appropriated to carry out this subtitle—

(1)

$10,000,000,000
for fiscal year 2012;

(2)

$20,000,000,000
for fiscal year 2013;

(3)

$30,000,000,000
for fiscal year 2014;

(4)

$40,000,000,000
for fiscal year 2015; and

(5)

$50,000,000,000
for fiscal year 2016.

B

Universal Free
School Breakfast Program

311.

Universal free
school breakfast program

(a)

Free breakfast
and universal eligibility

Section 4 of the
Child Nutrition Act of 1966 (42
U.S.C. 1773) is amended to read as follows:

4.

School breakfast
program authorization

(a)

Authorization of
appropriations

There are authorized to be appropriated such sums
as are necessary to enable the Secretary to carry out a program to assist
States and the Department of Defense to initiate, maintain, or expand nonprofit
breakfast programs to provide free breakfasts to school children without regard
to family income in all schools which make application for participation and
agree to carry out a nonprofit free breakfast program in accordance with this
Act. Appropriations and expenditures for this Act shall be considered Health
and Human Services functions for budget purposes rather than functions of
Agriculture.

(b)

Apportionment to
States

(1)(A)

In
general

The Secretary shall make breakfast payments to each State
educational agency each fiscal year, at such times as the Secretary may
determine, from the sums appropriated for such purpose, in an amount equal to
the product obtained by multiplying—

(i)

the number of breakfasts served
free during such fiscal year to children in schools in such States which
participate in the school breakfast program under agreements with such State
educational agency; by

(ii)

the national breakfast payment as
prescribed in paragraph (2) of this subsection.

(B)

Agreements

The
agreements described in subparagraph (A)(i) shall be permanent agreements that
may be amended as necessary. Nothing in the preceding sentence shall be
construed to limit the ability of the State educational agency to suspend or
terminate any such agreement in accordance with regulations prescribed by the
Secretary.

(2)

National
breakfast payment

The national payment for each breakfast shall
be $1.40 (as adjusted each July 1 pursuant to section 11(a)(3)(B) of the
Richard B. Russell National School Lunch
Act (42 U.S.C. 1759a(a)(3)(B))).

(3)

Limitation

No
breakfast payment may be made under this subsection for any breakfast served by
a school unless such breakfast consists of a combination of foods which meet
the minimum nutritional requirements prescribed by the Secretary under
subsection (e) of this section.

(4)

Nutrition
quality adjustment

The Secretary shall increase by 6 cents the
annually adjusted payment for each breakfast served under this Act and section
17 of the Richard B. Russell National School
Lunch Act. These funds shall be used to assist States, to the extent
feasible, in improving the nutritional quality of the breakfasts.

(5)

Agricultural
commodities

Notwithstanding any other provision of law, whenever
stocks of agricultural commodities are acquired by the Secretary or the
Commodity Credit Corporation and are not likely to be sold by the Secretary or
the Commodity Credit Corporation or otherwise used in programs of commodity
sale or distribution, the Secretary shall make such commodities available to
school food authorities and eligible institutions serving breakfasts under this
Act in a quantity equal in value to not less than 3 cents for each breakfast
served under this Act.

(6)

Effect on
expenditures

Expenditures of funds from State and local sources
for the maintenance of the breakfast program shall not be diminished as a
result of funds or commodities received under paragraph (4) or (5).

(c)

State
disbursement to schools

Funds paid to any State during any fiscal
year for the purpose of this section shall be disbursed by the State
educational agency, in accordance with such agreements approved by the
Secretary as may be entered into by such State agency and the schools in the
State, to those schools in the State which the State educational agency,
determines are eligible to participate in the school breakfast program.

(d)

Participation by
schools

(1)

Requirements for
participation

To be eligible to participate in the school
breakfast program under this section, a school food authority shall—

(A)

agree to serve all
breakfasts at no charge to all students who wish to participate without regard
to family income in all participating schools; and

(B)

meet all other
requirements that the Secretary may reasonably establish.

(2)

Start-up
assistance

The Secretary is authorized to provide additional
assistance to schools not participating in the school breakfast program prior
to the enactment of the Family and Workplace
Balancing Act of 2011 in order to assist such schools to begin
participation in the school breakfast program under this section.

(3)

State
educational agency assistance

Each State educational agency shall
assist schools not participating in the school breakfast program prior to the
enactment of the Family and Workplace
Balancing Act of 2011 to enter into agreements with such agencies
in order to participate in the school breakfast program under this
section.

(e)

Nutritional and
other program requirements

(1)

Minimum
nutritional requirements

Breakfasts served by schools
participating in the school breakfast program under this section shall consist
of a combination of foods and shall meet minimum nutritional requirements
prescribed by the Secretary on the basis of tested nutritional research, except
that the minimum nutritional requirements shall be measured by not less than
the weekly average of the nutrient content of school breakfasts.

(2)

Technical
assistance and training

The Secretary shall provide through State
educational agencies technical assistance and training, including technical
assistance and training in the preparation of foods high in complex
carbohydrates and lower-fat versions of foods commonly used in the school
breakfast program established under this section, to schools participating in
the school breakfast program to assist the schools in complying with the
nutritional requirements prescribed by the Secretary pursuant to paragraph (1)
and in providing appropriate meals to children with medically certified special
dietary needs.

(3)

Option versus
serve

At the option of a local school food authority, a student
in a school under the authority that participates in the school breakfast
program under this Act may be allowed to refuse not more than one item of a
breakfast that the student does not intend to consume. A refusal of an offered
food item shall not affect the amount of payments made under this Act to a
school for the
breakfast.

.

(b)

Technical
amendments

(1)

Child Nutrition Act of
1966

Section 20 of the Child Nutrition Act of 1966 (42 U.S.C. 1789)
is amended by striking subsection (b) and redesignating subsections (c) through
(e) as subsections (b) through (d), respectively.

(2)

Richard B.
Russell National School Lunch
Act

The Richard B. Russell
National School Lunch Act is
amended—

(A)

in section
11(a)(1)—

(i)

in
subparagraph (C), by striking or breakfasts each place it
appears;

(ii)

in
subparagraph (C)(i)(I), by striking or in the case of a school
and all that follows through 4 successive school years;

(iii)

in
subparagraph (D)(iii), by striking , or for free and reduced price
lunches and breakfasts,;

(iv)

in
subparagraph (D)(iv), by striking or school breakfast;

(v)

in
subparagraph (E)(i)(I), by striking or in the case of a school
and all that follows through 4 successive school years;
and

(vi)

in
subparagraph (E)(i)(II)—

(I)

by striking
or breakfasts both places it appears; and

(II)

by striking
or school breakfast;

(B)

in section
11(a)(3)(A)—

(i)

by
striking clause (iii); and

(ii)

by
redesignating clause (iv) as clause (iii);

(C)

in section
13(a)(1)(C), by striking or breakfasts; and

(D)

in section
17—

(i)

in
subsection (c), by striking paragraph (2), and redesignating paragraphs (3)
through (6) as paragraphs (2) through (5), respectively; and

(ii)

in
subsection (f)(3)(E)(ii)(I), by striking meals and inserting
lunches.

C

Afterschool
Education Enhancement Act

341.

Short
title

This subtitle may be
cited as the Afterschool Education
Enhancement Act.

342.

Amendments
regarding 21st Century community learning centers

Part B of title IV of the
Elementary and Secondary Education Act of
1965 (20 U.S.C. 7171 et seq.) is amended—

(1)

in subsection (a)
of section 4203—

(A)

by striking
paragraph (3); and

(B)

by redesignating
paragraphs (4) through (14) as paragraphs (3) through (13), respectively;
and

(2)

in section
4204—

(A)

in paragraph (2)
of subsection (b)—

(i)

by
striking subparagraph (F); and

(ii)

by
redesignating subparagraphs (G) through (N) as subparagraphs (F) through (M),
respectively; and

(B)

by amending
paragraph (1) of subsection (i) to read as follows:

(1)

In
general

In awarding grants under this part, a State educational
agency shall give priority to applications submitted jointly by eligible
entities consisting of not less than—

(A)

1 local
educational agency receiving funds under part A of title I; and

(B)

1 community-based
organization or other public or private
entity.

.

IV

Improving the
workplace for families

A

Part-Time and
Temporary Workers Benefits

401.

Treatment of
employees working at less than full-time under participation, vesting, and
accrual rules governing pension plans

(a)

Participation
rules

(1)

In
general

Section 202(a)(3) of the Employee Retirement Income Security Act of
1974 (29 U.S.C. 1052(a)(3)) is amended by adding at the end the
following new subparagraph:

(E)(i)

For purposes of this paragraph, in the case
of any employee who, as of the beginning of the 12-month period referred to in
subparagraph (A)—

(I)

has customarily completed 500 or more
hours of service per year but less than 1,000 hours of service per year,
or

(II)

is employed in a type of position in
which employment customarily constitutes 500 or more hours of service per year
but less than 1,000 hours of service per year,

completion of
500 hours of service within such period shall be treated as completion of 1,000
hours of service.(ii)

For purposes of this subparagraph,
the extent to which employment in any type of position customarily constitutes
less than 1,000 hours of service per year shall be determined with respect to
each pension plan in accordance with such regulations as the Secretary may
prescribe providing for consideration of facts and circumstances peculiar to
the work-force constituting the participants in such
plan.

.

(2)

Conforming
amendment

Section 204(b)(1)(E) of such Act (29 U.S.C.
1054(b)(1)(E)) is amended by striking section 202(a)(3)(A) and
inserting subparagraphs (A) and (E) of section 202(a)(3).

(b)

Vesting
rules

(1)

In
general

Section 203(b)(2) of such Act (29 U.S.C. 1053(b)(2)) is
amended by adding at the end the following new subparagraph:

(E)(i)

For purposes of this paragraph, in the case
of any employee who, as of the beginning of the period designated by the plan
pursuant to subparagraph (A)—

(I)

has customarily completed 500 or more
hours of service per year but less than 1,000 hours of service per year,
or

(II)

is employed in a type of position in
which employment customarily constitutes 500 or more hours of service per year
but less than 1,000 hours of service per year,

completion of
500 hours of service within such period shall be treated as completion of 1,000
hours of service.(ii)

For purposes of this subparagraph,
the extent to which employment in any type of position customarily constitutes
less than 1,000 hours of service per year shall be determined with respect to
each pension plan in accordance with such regulations as the Secretary may
prescribe providing for consideration of facts and circumstances peculiar to
the work-force constituting the participants in such
plan.

.

(2)

1-year breaks in
service

Section 203(b)(3) of such Act (29 U.S.C. 1053(b)(3)) is
amended by adding at the end the following new subparagraph:

(F)(i)

For purposes of this paragraph, in the case
of any employee who, as of the beginning of the period designated by the plan
pursuant to subparagraph (A)—

(I)

has customarily completed 500 or more
hours of service per year but less than 1,000 hours of service per year,
or

(II)

is employed in a type of position in
which employment customarily constitutes 500 or more hours of service per year
but less than 1,000 hours of service per year,

completion of
250 hours of service within such period shall be treated as completion of 500
hours of service.(ii)

For purposes of this subparagraph,
the extent to which employment in any type of position customarily constitutes
less than 1,000 hours of service per year shall be determined with respect to
each pension plan in accordance with such regulations as the Secretary may
prescribe providing for consideration of facts and circumstances peculiar to
the work-force constituting the participants in such
plan.

.

(c)

Accrual
rules

Section 204(b)(4)(C) of such Act (29 U.S.C. 1054(b)(4)(C))
is amended—

(1)

by inserting
(i) after (C); and

(2)

by adding at the
end the following new clauses:

(ii)

For purposes of this subparagraph,
in the case of any employee who, as of the beginning of the period designated
by the plan pursuant to clause (i)—

(I)

has customarily completed 500 or more
hours of service per year but less than 1,000 hours of service per year,
or

(II)

is employed in a type of position in
which employment customarily constitutes 500 or more hours of service per year
but less than 1,000 hours of service per year,

completion of 500 hours of service
within such period shall be treated as completion of 1,000 hours of
service.

(iii)

For purposes of clause (ii), the
extent to which employment in any type of position customarily constitutes less
than 1,000 hours of service per year shall be determined with respect to each
pension plan in accordance with such regulations as the Secretary may prescribe
providing for consideration of facts and circumstances peculiar to the
work-force constituting the participants in such
plan.

.

402.

Treatment of
employees working at less than full-time under group health plans

(a)

In
general

Part 2 of subtitle B of title I of the
Employee Retirement Income Security Act of
1974 is amended—

(1)

by redesignating
section 211 (29 U.S.C. 1061) as section 212; and

(2)

by inserting after
section 210 (29 U.S.C. 1060) the following new section:

211.

Treatment of
part-time workers under group health plans

(a)

In
general

A reduction in the employer-provided premium under a
group health plan with respect to any employee for any period of coverage
solely because the employee’s customary employment is less than full-time may
be provided under such plan only if the employee is described in subsection (b)
and only to the extent permitted under subsection (c).

(b)

Reductions
applicable to employees working less than full-Time

(1)

In
general

An employee is described in this subsection if such
employee, as of the beginning of the period of coverage referred to in
subsection (a)—

(A)

has customarily
completed less than 30 hours of service per week, or

(B)

is employed in a
type of position in which employment customarily constitutes less than 30 hours
of service per week.

(2)

Regulations

For
purposes of paragraph (1), whether employment in any type of position
customarily constitutes less than 30 hours of service per week shall be
determined with respect to each group health plan in accordance with such
regulations as the Secretary may prescribe providing for consideration of facts
and circumstances peculiar to the work-force constituting the participants in
such plan.

(c)

Amount of
permissible reduction

The employer-provided premium under a group
health plan with respect to any employee for any period of coverage, after the
reduction permitted under subsection (a), shall not be less than a ratable
portion of the employer-provided premium which would be provided under such
plan for such period of coverage with respect to an employee who completes 30
hours of service per week.

(d)

Definitions

For
purposes of this section—

(1)

Group health
plan

The term group health plan has the meaning
provided such term in section 607(1).

(2)

Employer-provided
premium

(A)

In
general

The term employer-provided premium under a
plan for any period of coverage means the portion of the applicable premium
under the plan for such period of coverage which is attributable under the plan
to employer contributions.

(B)

Applicable
premium

For purposes of subparagraph (A), in determining the
applicable premium of a group health plan, principles similar to the principles
applicable under section 604 shall
apply.

.

(b)

Conforming
amendments

(1)

Section 201(1) of
such Act (29 U.S.C. 1051(1)) is amended by inserting , except with
respect to section 211 before the semicolon.

(2)

The table of
contents in section 1 of such Act is amended by striking the item relating to
section 211 and inserting the following new items:

211. Treatment of part-time workers under
group health plans.

212. Effective
date.

.

403.

Expansion of
definition of employee to include certain individuals whose services are leased
or contracted for

Paragraph
(6) of section 3 of the Employee Retirement
Income Security Act of 1974 (29 U.S.C. 1002(6)) is amended—

(1)

by inserting
(A) after (6); and

(2)

by adding at the
end the following new subparagraph:

(B)

Such term includes, with respect to
any employer, any person who is not an employee (within the meaning of
subparagraph (A)) of such employer and who provides services to such employer,
if—

(i)

such person has (pursuant to an
agreement with such employer or any other person) performed such services for
such employer (or for such employer and related persons (within the meaning of
section 144(a)(3) of the Internal Revenue Code of 1986)) for a period of at
least 1 year (6 months in the case of core health benefits) at the rate of at
least 500 hours of service per year, and

(ii)

such services are of a type
historically performed, in the business field of the employer, by employees
(within the meaning of subparagraph
(A)).

.

404.

Effective
dates

(a)

In
general

Except as provided in subsection (b), the amendments made
by this subtitle shall apply with respect to plan years beginning on or after
January 1, 2012.

(b)

Special rule for
collectively bargained plans

In the case of a plan maintained
pursuant to 1 or more collective bargaining agreements between employee
representatives and 1 or more employers ratified on or before the date of the
enactment of this Act, subsection (a) shall be applied to benefits pursuant to,
and individuals covered by, any such agreement by substituting for
January 1, 2012 the date of the commencement of the first plan
year beginning on or after the earlier of—

(1)

the later
of—

(A)

January 1, 2012,
or

(B)

the date on which
the last of such collective bargaining agreements terminates (determined
without regard to any extension thereof after the date of the enactment of this
Act), or

(2)

January 1,
2014.

(c)

Plan
amendments

If any amendment made by this subtitle requires an
amendment to any plan, such plan amendment shall not be required to be made
before the first plan year beginning on or after January 1, 2012, if—

(1)

during the period
after such amendment made by this Act takes effect and before such first plan
year, the plan is operated in accordance with the requirements of such
amendment made by this subtitle, and

(2)

such plan
amendment applies retroactively to the period after such amendment made by this
subtitle takes effect and such first plan year.

A plan shall not be treated as
failing to provide definitely determinable benefits or contributions, or to be
operated in accordance with the provisions of the plan, merely because it
operates in accordance with this subsection.B

United States
Business Telework Act

411.

Short
title

This subtitle may be
cited as the United States Business
Telework Act.

412.

Telework pilot
program

(a)

Program

In
accordance with this subtitle, the Secretary of Labor shall conduct, in not
more than 5 States, a pilot program to raise awareness about telework among
employers and to encourage such employers to offer telework options to
employees.

(b)

Permissible
activities

In carrying out the pilot program, the Secretary is
encouraged to—

(1)

produce
educational materials and conduct presentations designed to raise awareness of
the benefits and the ease of telework;

(2)

conduct outreach
to businesses that are considering offering telework options;

(3)

acquire telework
technologies and equipment to be used for demonstration purposes; and

(4)

ensure that
expectant and new mothers who are employed by businesses that participate in
the pilot program are given the option to telework during the 1-year period
after the date of birth.

413.

Report to
Congress

Not later than 2
years after the first date on which funds are appropriated to carry out this
subtitle, the Secretary shall transmit to the Congress a report containing the
results of an evaluation of the pilot program and any recommendations as to
whether the pilot program, with or without modification, should be
expanded.

414.

Definition

In this subtitle, the term
telework means the performance of any portion of work functions by
an employee outside the normal place of business under circumstances which
reduce or eliminate the need to commute.

415.

Termination

The pilot program shall terminate 2 years
after the first date on which funds are appropriated to carry out this
subtitle.

416.

Authorization
of appropriations

There is
authorized to be appropriated $5,000,000 to carry out this subtitle.